Russia: Industrial output drops unexpectedly in October
November 18, 2013
In October, industrial production fell 0.1% over the same month last year, which contrasted the 0.3% increase recorded in September. The reading defied market expectations of a 0.5% rise. A strong drop in manufacturing and a slowdown in electricity, gas and water supply drove the contraction.
On a month-on-month seasonally-adjusted basis, industrial output fell 0.6% in October (September: +0.2% month-on-month). Meanwhile, average annual growth in industrial production fell from 0.5% in September to 0.3%.
The government sees industrial output expanding 0.7% in 2013. FocusEconomics Consensus Forecast panelists are more optimistic and expect industrial production to increase 1.3% in 2013, which is down 0.6 percentage points from last month's forecast. For 2014, the panel expects industrial production growth to accelerate to 2.6%, which is down 0.4 percentage points from last month's estimate.
Author: Armando Ciccarelli, Head of Data Solutions