World Bank expert calls on Russia to spur economic reform

Expert of the World Bank /WB/ Christof Ruehl has called on the Russian government to intensify the reform of the country's economic system.

It is only possible to double GDP by 2010 if economic reforms continue in Russia, said Christof Ruehl, Chief Economist of the WB's office in Russia.

First of all, he advised that the government focus on reforms in the sphere of state monopolies, and recommended that issues of forming an efficient financial market be considered.

The state's diminishing interference with the economy might be an important factor of its steady growth, Ruehl pointed out.

The expert stressed that the 7.2% growth of Russia's GDP in the 1st half of 2003 had been caused by high oil prices. However, in the World Bank's estimation, they are not expected to rise in the near future.

I would like to compare the current situation with races. We have shot ahead, and we must take this advantage, even if it might cause a reduction of GDP in Russia, Ruehl believes.