Industrial production in Russia returned to growth

Rosstat experts have fixed the resumption of growth in the Russian industry. In August 2016, the industrial production index in annual terms grew by 0.7% after falling in July by 0.3%. Compared to the previous month, the index jumped 1.2%, with the exception of seasonal and calendar factors — by 0.5%, says Rosstat.

The index helped to offset the loss from the July drop — in January-August 2016 growth (compared to the same period last year) amounted to the same 0.4%, and at the end of the first half.

In July Rosstat recorded a fall in the index after three months of growth (April-June, the index had gained 0.5-0.7 per cent), partly reflecting the smaller-than-usual number of working days (21), since this year July had ten Saturdays and Sundays. In August was 23 working days, which, according to the leading expert of the “development Center” HSE Mykola Kondrashov, and should lead to rebound.

As a result, the mining operations in August 2016 has increased by 1.8% compared to the previous year, compared with July up 0.8%. Manufacturing grew year-on-year by 0.1%, as compared to the previous month and 1.5%. Production and distribution of electricity, gas and water showed an annual increase of 1.3% and month-on-month 1.8%.

Were the fastest growing in August, coal mining (+13,8% compared to the last month of summer 2015) and nonmetallic materials (+9.1%) and the production of sunflower oil (twice), freight cars (+84,8%), tractors (+84%), threads (+43,8%), cars (+41,6%) and fish and fish products (+20.9 percent).

Previously, experts of the Academy and Institute of economic policy after Gaidar announced that the index of adaptation to industry (the share of enterprises evaluating their performance as normal) in the third quarter of 2016 increased to a maximum of 23 years of observations. As said the head of business surveys Department, center for Real sector Gaidar Institute Sergey Tsukhlo, this is an unexpected result: it turns out that the business believes the situation in the industry the best from the mid-1990s.