Manufacturing activity in Russia expanded in December at the fastest rate since March 2011 as the sector posted faster job creation, the Markit purchasing managers' index (PMI) showed on Thursday. The headline index rose to 53.7 in December from 53.6 the previous month, edging further above the 50 mark that separates expansion from contraction.
The PMI survey came in line with Russia's official view that the worst of its crisis is over and that the economy is set to return to growth soon. December's manufacturing sector performance put the index average for the fourth quarter at its highest level in over five-and-a-half years. "A healthier labour market, substantial production growth and robust domestic demand fuelled economic growth and provided goods producers with the best possible end to 2016," said Samuel Agass, an economist at IHS Markit, which compiled the PMI report.
A recovery in new orders prompted companies to take on more staff, the survey showed. "Employment returning to growth was a huge boost for the sector and rectified the main negative from November's PMI data," Agass said. Goods producers, however, faced a further slump in demand from abroad. The new export orders subindex remained below the 50 mark, meaning orders are falling, for the 40th month in a row. - Detailed PMI data are only available under licence from Markit and customers need to apply to Markit for a licence.
Comments
Comments are closed for this article.