Russia PMI November 2019

Russia: Services PMI remains close to one-year high in November, while the Composite PMI dips

The IHS Markit Russia Services Business Activity Index came in at 55.6 in November, broadly unchanged from October’s one-year high of 55.8. As a result, the index remained well above the critical 50-threshold, signaling a sustained improvement in business activity across the Russian service sector. The result chiefly reflected strong new orders growth amid booming domestic demand which more than offset a dip in foreign business. In turn, the growth of output among services providers was the second-fastest in a year in November, while firms also recorded a further increase in workforce numbers. That said, sentiment over future outlook dropped to the lowest point in over a year, amid lingering economic uncertainty and concerns over softer client demand.

Meanwhile, the Russia Composite Output Index fell to 52.9 in November from 53.3 in October. The result points to Russia increasingly turning into a two-speed economy, amid divergent dynamics in the services and manufacturing sectors. Commenting on the report, Sian Jones, an economist at IHS Markit, noted that the Central Bank is likely to continue its monetary policy easing cycle against the backdrop of frail demand dynamics:

“At the composite level, inflationary pressures softened further in November, suggesting that the Central Bank of Russia may look to reduce the key rate again in due course amid muted price increases and historically modest client demand across the private sector.”

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest