|Russian Economy Contracted 9.4% in Third Quarter|
|October 20, 2009|
By Alexander Nicholson
Russia’s economy contracted 9.4 percent in the third quarter from a year earlier, less than the previous quarter’s decline, the Economy Ministry said today in an e-mailed statement, citing preliminary data.
Gross domestic product rose 0.6 percent in the quarter from the previous three months, the Ministry said. GDP grew a seasonally adjusted 0.5 percent last month from August and on an annual basis the decline slowed to 8.6 percent in September from 10.5 percent the month before, the Economy Ministry said.
The month-on-month growth was due to a “good grain harvest,” increased meat production and an improvement in manufacturing output, the statement said. Construction and trade continued to shackle expansion, it said.
Russia has “exited” its recession as the economy expanded in the third quarter compared with the previous quarter, Finance Minister Alexei Kudrin told reporters in St. Petersburg today.
The economy of the world’s biggest energy exporter contracted a record 10.9 percent in the second quarter from the same period last year after demand for its oil, gas and metals exports tumbled in the global slump.
The ruble was 0.4 percent stronger at 29.1829 versus the dollar at 2:02 p.m. in Moscow. It was little changed against the euro at 43.7006.
The slump in industrial production, which has been sustained for 11 months, dropped into single digits for the first time since the end of last year in September. Prices for crude oil, Russia’s main export, advanced on improved prospects for an economic recovery and metals and coal producers sought to meet reviving demand from manufacturers.
Industrial output rose a seasonally adjusted 0.4 percent in the month, compared with 0.2 percent in August, Deputy Economy Minister Andrei Klepach said Oct. 15.
OAO Russian Railways, the rail monopoly whose sales made up 2.5 percent of gross domestic product last year, said cargo shipments declined in September at the slowest rate this year, down 11 percent from a year earlier compared with a 12 percent drop in August.
|< Prev||Next >|