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Economics ministry raises 2007 GDP forecast

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MOSCOW, March 12 (RIA Novosti) - The Russian Economic Development and Trade Ministry has slightly increased its GDP forecast for 2007 and lowered the upper ceiling for inflation in 2009-2010, the ministry's official told a briefing Monday.

Gennady Kuranov, deputy director of the ministry's macroeconomic forecasts department, said the GDP growth rate would be 6.2%, up 0.1% against the previous forecast.

In line with the government's decision to slow down inflation in the mid term, the economic development ministry lowered the upper ceiling for inflation in 2009-2010 from 6.8% to 6.5% and from 6.5% to 6% respectively. The government now has new inflation goals of 5.5%-6% in 2009 and 5%-6% in 2010.

The lower inflation forecast followed an adjustment of the price index and deflators on trade and consumer services, Kuranov said.

The 2007 inflation forecast has remained within 7%-8%, and the forecast for ruble strengthening and industrial growth has also remained unchanged, the ministry's official said.

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