Growth of Business Activity in Russia’s Service Sector Hits Eight-Year High

PHOTO by yuliang11 / Depositphotos

The IHS Markit Russia Services Business Activity Index rose to an eight-and-a-half-year high of 58.4 in January, according to the UK business analytics company. In December 2016, Russia’s index number was 56.5.

The growth occurred against the backdrop of an increasing volume of new work, which amounted to the most in the last four years. Also, the growth rate exceeded the historic average.

“The start of the year saw business activity growth in Russia’s service sector reaching an eight-and-a-half-year high, supported by the quickest increase in new work since December 2012,” said Samuel Agass, an economist with IHS Markit. “The sector continues to go from strength to strength and shows no signs of slowing, with backlogs of work accumulating further and employment also rising at the quickest extent in nearly three-and-a-half years.”