OREANDA-NEWS By the end of 2024, the growth rate of the Russian economy may exceed the upper limit of the Central Bank's forecast of 4 percent. This was stated by Kirill Tremasov, adviser to the head of the regulator, his words are quoted by Interfax.

He recalled that the official forecast of the Central Bank for Russian GDP growth for this year is 3.5-4 percent. According to the Federal State Statistics Service (Rosstat), by the end of 2023, the national gross product increased by 3.6 percent. Tremasov admits that in 2024 the dynamics may be higher. "So far, we are moving closer to the upper limit of the forecast range. And I think that this year we will also have 4 plus growth," summed up the adviser to the head of the Central Bank.

Earlier, Tremasov did not rule out a scenario in which the board of directors of the Russian regulator would raise the key rate following the December meeting. At the end of October, the Central Bank's management raised the bar by 200 basis points at once, to a record 21 percent per annum. The regulator explained its decision by increasing inflationary pressure on the Russian economy.

The adviser to the head of the Central Bank believes that by the end of December, the growth rate of consumer prices in Russia may come close to the upper limit of the updated forecast of 8.5 percent. According to the Ministry of Economic Development, annual inflation in the country reached 8.78 percent as of November 25. If the forecast range of 8-8.5 percent is exceeded, the Central Bank's management may once again tighten its monetary policy (PREP). However, by now the regulator has not yet decided on a final decision on this issue, Tremasov concluded.