Russia's real GDP growth likely to continue improving

Central Bank of Russia forecasted the real GDP at  -1.0 to - 0.5% for 2016 while the market consensus forecasts 0.0%. The net private capital outflows stood at USD 53bn against 118.7bn during same period in 2014.

"We expect a gradual recovery in activity to give way to ruble appreciation in the long term. Real GDP growth is likely to continue improving", says RBC Capital Markets in a research note.

The central bank revised its net private capital outflow estimate for 2016 to USD 58bn from USD 70bn which implies potentially less downward pressure on RUB.