The Year of Lost Opportunities

According to A Klepach, Deputy Minister of Economic Development "the year of 2013 became the year of lost opportunities in terms of creation of new incentives for economy and prevention of economic slowdown". According to official estimates, within eleven months of 2013 GDP growth rates amounted to 1.3% as compared to the previous year which index corresponds the 2013 forecast of the Ministry of Economic Development of the RF (1.4%).

Despite availability of some potential for growth in industry (in November manufacturing industries and engineering demonstrated positive dynamics as compared to the previous month, in particular, manufacturing industries' dynamics rose by 1% as compared to October with a seasonal factor taken into account), to achieve higher economic growth rates that potential is not sufficient enough due to depletion of traditional factors of growth.


It is to be noted that the position of the Ministry of Economic Development of the RF as regards the ways of revival of the economy differs from the opinion of A. Belousov, Presidential Aide that the cause of economic recession is in the monetary area, namely, high interest rates on loans. So, according to A. Klepach a source of growth is a revival of investment demand as a result of higher investors' confidence in Russian economy.


As was repeatedly stated before, growth in attractiveness of Russian economy depends on the extent of development of its institutions, including establishment of a favorable investment climate. One cannot, but agree with А. Klepach that it is necessary to develop a comprehensive plan of measures to achieve sustained high growth rates in all the sectors of Russian economy. At the same time, implementation of the above measures should take place in a more favorable institutional environment than now.


So, summing up the results of 2013 one would like to hope that all the concerns and forecasts as regards economic development of Russia in 2013 and subsequent years will not be left unnoticed by the authorities.


М.V. Kazakova, PhD (Economics), Head of the Economic Development Department and Deputy Director of the Budget Stability Research Department