EC downgrades outlook of Russia's economy

Baku. 3 May. REPORT.AZ/ European Commission in February worsened its forecast for the Russian economy, Report informs citing the Gazeta.ru.

Experts predict decline of Russia's GDP in 2016 to 1.9% instead of the previous 1.2%, said in EC report in the spring.

At the same time the European Commission has worsened the forecast for GDP growth in Russia in 2017 - up to 0.5% from 0.3%.

"The main factors influencing on the Russian economy, will continue to be the geopolitical situation, a weak rise in oil prices, as well as the monetary policy of the Central Bank of Russia", the report says.

Experts also point out that the risk of perpetuating sanctions against Russia in 2017 will lead to a "decline in economic confidence and investment recovery delay."

In early February, the European Commission published a forecast that GDP decline in Russia until the end of 2016 will amount to 1.2%.