By Laura Mills

MOSCOW--Russia's economy is recovering and will shrink by only 0.5% to 0.6% this year, up from a 3.7% contraction last year, President Vladimir Putin said Friday during his annual press conference in Moscow.

Mr. Putin said a broad range of sectors, from agriculture to industry, were showing signs of improvement. He added that inflation was likely to reach 5.5% this year, below previous government predictions, and that a target of 4% inflation was attainable next year.

Write to Laura Mills at laura.mills@wsj.com

(END) Dow Jones Newswires

December 23, 2016 04:34 ET (09:34 GMT)

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