MOSCOW, Dec. 11 (UPI) -- The International Monetary Fund said there were risks to the health of the Russian economy because of its heavy reliance on the oil industry.
Antonio Spilimbergo, an economist with the IMF, said he was concerned about the health of the Russian economy following a week-long visit to the country, which ended Tuesday.
In a statement following his visit, Spilimbergo said growth in the Russian economy had slowed down and vulnerabilities persist. Inflation remains in check, however, and the economy is moving at its full capacity despite a slowdown in the growth of the Russian gross domestic product.
"These projections are subject to risks -- prospective tightening of international financial conditions, Russia's dependence on international oil prices, growth in unsecured credit, and the impact of uncertainty concerning the pace of structural reforms on business climate and investment," he said in a statement.
He said the budget was further influenced by the weak performance of sectors outside the oil industry.
In an overview of the Russian economy, the World Bank said the Russian economy was too dependent on oil to thrive. Oil prices below the $100 per barrel mark during the second quarter of 2013 meant Russia suffered as a result, the bank said.
"Structural reforms should be a critical element of any plan to enhance Russia's growth potential," Spilimbergo said.
