Russia’s Economic Update: Growth in Trade, Profits, and Investments in 2024
In 2024, trade turnover between Russia and Uzbekistan increased by 5.2%. Other highlights include slight passenger traffic decline for Aeroflot, a federal budget deficit of 2.701 trillion rubles, and Sberbank’s profit up by 13.5%. Major corporations announced strong dividend payouts and reported notable increases in profits, with investment in bonds reaching a record high.
Trade turnover between Russia and Uzbekistan saw a rise of 5.2% in 2024, reflecting strengthened economic ties. In other economic updates, Aeroflot Group reported a slight decline of 0.1% in passenger traffic during January and February. The federal budget deficit reached 2.701 trillion rubles in the same period, signaling fiscal challenges ahead. Meanwhile, Sberbank exhibited a 13.5% increase in net profit under the Russian Accounting Standards (RAS) for the two months.
The foreign trade volume of the Russian Federation grew by 4.6% in January, highlighting robust trade activities. Polyus, a significant player in the gold mining sector, announced plans to distribute dividends of 730 rubles per share in 2024, while MegaFon projected dividend payments totaling 15.7 billion rubles and Metalloinvest announced 10 billion rubles in dividends, reflecting strong financial performance.
Furthermore, major Russian exporters ramped up their currency sales by 25% in February, indicating increased foreign exchange confidence. The Cabinet of Ministers also endorsed the establishment of three new Special Economic Zones (SEZs), which may enhance investment attractiveness in the regions. In automotive news, over 2,000 Toyota vehicles are being recalled in Russia.
In monetary policy, the Central Bank has extended restrictions on foreign currency cash withdrawals for another six months to stabilize the financial system. Positive ratings news includes the AK&M Rating Agency reaffirming MTS’s A++ sustainability rating. On the banking front, Bank Saint Petersburg reported a 7.3% increase in net profit as per International Financial Reporting Standards (IFRS) in 2024.
Sokolov saw a noteworthy turnover increase of 34% in 2024, while in the Republic of Tyva, gasoline prices experienced a minor drop of 0.3% over a week. As of March 1, the National Wealth Fund (NWF) recorded an impressive value equivalent to 5.5% of GDP. Investments by individuals in bonds on the Moscow Exchange surged to a milestone of 224.7 billion rubles in February, signaling strong investor interest. Moreover, Diasoft’s net profit under IFRS for the first nine months of 2024 stood at 2.8 billion rubles. The Moscow Stock Exchange also witnessed a significant 30.4% rise in net profit under IFRS in 2024, while Unipro marked a substantial increase of 44.8% in net profit for the year.
In summary, various sectors in Russia indicate positive growth trends for 2024, exemplified by increasing trade turnover, robust profitability for key companies, and flourishing investment activities. The announcement of new SEZs and focused financial policies reflect governmental efforts to foster economic stability and growth. The performance of banks, along with dividend plans from leading firms, signals investor confidence as the country navigates its fiscal landscape.
Original Source: www.akm.ru
