Standard & Poor’s (S&P) global rating agency confirmed Russia’s sovereign credit rating at BBB-with a “stable” outlook, the agency said in a report, TASS reported.
The decline in oil prices, reduction of oil output under the OPEC+ deal, and the negative consequences of the COVID-19 pandemic will lead to a decrease in the Russian economy by 4.8% in 2020, the report said.
However, a strong political framework, as well as the level of external and internal balance, should allow the economy to cope with these shocks, the agency’s experts said.
The agency noted that despite the numerous economic shocks caused by the coronavirus pandemic, the impact on Russia’s GDP in 2020 will be lower than in developed countries partly due to the economic structure, with a lesser role for the service sectors and small and medium enterprises.
According to the agency’s forecasts, the growth of the Russian economy in 2021 may reach 4.5% and 3.3% in 2022. With this recovery path, Russia’s real GDP will return to 2019 levels by early 2022.