Page 7 - RusRPTJul23

calculated at purchasing power parity.
"There is no doubt that in the coming years we will retain this sixth place, if we count GDP at purchasing power parity. <...> Now, indeed, Russia ranks sixth in the world in terms of economic size at purchasing power parity. I spoke about macroeconomic stability, about how the economic situation is developing now and how we forecast it. I have no doubt that we will certainly secure this sixth place," Putin stressed.
Putin confirming plans to raise Russia’s minimum monthly wage by 18.5% in 2024, and proposing that child benefits and the unified child allowance be paid to parents during the entire period for which they are designated, even if the recipient’s income rises.
Putin specifically emphasized that Russia "is getting off the oil needle" and that this trend was gaining momentum. In addition, the president proposed an amnesty for businesses for currency violations they were compelled to commit by changing circumstances.
The exit of foreign companies from Russia has opened up some RUB2 trillion ($23.8bn) worth of niches, Russian President Vladimir Putin said, addressing a plenary meeting of the St. Petersburg International Economic Forum (SPIEF) on Friday.
"Foreigners have largely vacated up to 2mn square metres of retail space and a niche worth about RUB2 trillion ($23.8bn)," he said.
According to the Russian leader, lots of foreign businesses manufactured their products locally, therefore their departure from the Russian market has not affected output. "What has changed is the logo. Meanwhile, revenues from these businesses stay in our country," the Russian leader maintained.
"Our overall exports last year broke the ten-year record and reached $592bn dollars and non-raw material, non-energy exports accounted for nearly one third of this sum - $188bn. This figure means 6.4mn jobs and RUB2.2 trillion (over $26bn) in tax revenue to the country’s consolidated budgets," Putin said at SPIEF on June 16.
The latest data suggest that this strength continued at the start of Q2. With Urals crude oil prices stabilising after the sharp falls late last year, imminent risks to macroeconomic stability have eased and the economic recovery is likely to continue in the coming months.
The CBR does not see signs of overheating of the Russian economy, but such risks exist and it is necessary to pay attention to it, Elvira Nabiullina, head of the regulator, said at a press conference following a meeting of the regulator's board of directors. "Overheating is the situation when GDP is above its potential, and in the event that demand grows faster than supply, when GDP has reached its potential. Inflation serves as an indicator of such overheating, when it rises above a key level. Now we do not see it, we cannot say that the
7 RUSSIA Country Report July 2023 www.intellinews.com