Russia's economy grew 4.1% in 2024, slightly higher than the official forecast of 3.9%, according to Russian Prime Minister Mikhail Mishustin's report to President Vladimir Putin - RT.
According to Prime Minister Mishustin, Russia's gross domestic product (GDP) reached a record high of 200,000 billion rubles (equivalent to 2.06 trillion USD).
President Putin expressed his satisfaction with this result, calling this "good" and "encouraging". However, he also emphasized the desire to curb inflation, which was up to 9.5% in 2024.
Putin compares Russian growth with "self -proclaimed developed countries", emphasizing that the Russian economy has grown faster than the United States, Germany and France in the past year.
Despite predictions from the West that the Russian economy will collapse under the weight of sanctions related to the conflict in Ukraine, this economy remains persistence. Increasing military spending has become the main driving force for growth, although also contributing to increasing consumption prices.
However, inflation has become a great challenge, when Russian consumers face the price of essential food and goods.
In response to inflationary pressure, the Central Bank of Russia maintained basic interest rates at 21%, the highest in two decades. Although this is a measure to curb inflation, high interest rates along with labor shortage have created more pressure on the economy in recent months.
