Russia’s economy ministry does not rule out that GDP could grow 6 percent this year, Andrei Klepach, director of the economy ministry’s department for macroeconomic forecasting, told reporters on Monday.

He said the economy ministry had raised its GDP growth forecast for 2005 from 5.8 to 5.9 percent. “But growth could be higher,” Klepach stressed. The revised forecast meant that the economy ministry expected a 6.1 percent growth in the second half of the year, against 5.2 percent from January through June, he noted. GDP growth is projected to be 5.8 percent next year, 5.9 percent in 2007 and 6 percent in 2008.

Klepach said the ministry was also eyeing higher investment in 2006 due to Russia’s improved investment climate, which will boost the country’s economic growth.

In May, the economy ministry downgraded its forecast for Russia's economic growth this year and next. GDP growth in 2005 was set at 5.8 percent instead of the 6.5 percent projected earlier, and in 2006 the economy was expected to expand 5.6 percent against the 5.9 announced earlier.

In April, the economy ministry released its GDP estimates, projecting a growth of 6.5 percent for this year if crude oil prices average $39 per barrel. Economic advance next year was set at 5.9 percent as oil prices were expected to average $34 a barrel, and a growth of 6.1 percent was projected for 2007 if oil prices average $33 a barrel. In 2008, GDP advance was planned at 6.2 percent.