Business activity index in Russia for June 2022

The IHS Markit Services Purchasing Managers Index (PMI) rose to 51.7 in June from 48.5 in May. Consequently, the index rose above the 50.0 mark, indicating an improvement in business conditions compared to the previous month.

The improvement was driven by a rise in new orders for the first time in nine months. Stronger demand from local customers more than offset the continued decline in export orders. In addition, expectations for future production have strengthened to their highest level since February. Less positively, firms continued to reduce their workforce. Finally, the fee inflation rate has fallen to its lowest level since February 2021.

Meanwhile, the S&P Global Composite Output Index rose to 50.4 in June from 48.2 in May.

FocusEconomics experts predict that private consumption will fall by 11.1% in 2022, which is 2.1 percentage points higher than last month’s forecast. In 2023, experts predict a drop in private consumption by 2.1%.