MOSCOW, May 26 (RIA Novosti) - Net capital inflow in Russia is expected to exceed $2 billion in May, a Finance Ministry official said on Tuesday.

"Net capital outflow measured $35 billion in January-March and $1.5 billion in April. In May, we expect for the first time a net capital inflow of slightly more than $2 billion," said deputy minister Oksana Sergiyenko.

However, Russia's budget deficit could exceed 9% of GDP in 2009, if the economic situation developed according to an unfavorable scenario, Sergiyenko said.

Russian President Dmitry Medvedev warned on Monday that the federal budget deficit will amount to at least 7% of GDP in 2009.

"The budget deficit will be no less than 7% of GDP. This is an optimist figure," Medvedev said at a government meeting while outlining key points for his budget address to both houses of Russia's parliament, due to be delivered in the fall.

Russia's GDP fell 9.5% in the first quarter of 2009, year-on-year, and 23.2% on the fourth quarter of 2008, the Federal Statistics Service reported on May 15.

The Economics Ministry earlier attributed the contraction to a slump in construction (down 20%), lower tax intake, falling investment and retail trade.

Inflation in Russia is expected to total 0.7-0.8% in May compared with 1.4% registered in the same month last year, Sergiyenko said, adding that consumer prices had grown 6.6% from January 1 to May 18 compared with 7.2% a year ago.

Consumer price growth in Russia started to slow in April, with prices rising by only 0.7%, compared with 1.3% in March. Last year, consumer prices rose 13.3%.

Russia's Central Bank cut as of May 14 its key lending rate by 0.5 percentage points to 12% per annum, following a slowdown in consumer price growth