Russia Private Sector Shrinks at Softer Rate

2026-05-06 06:29 By Farida Husna 1 min. read

Russia’s S&P Global Composite PMI edged up to 49.1 in April 2026 from 48.8 in March.

However, it signaled a second straight month of contraction in private sector activity, as manufacturing output and services stayed subdued.

New orders declined again, with a renewed fall in services demand coinciding with a modest drop in manufacturing sales, pointing to weak overall demand conditions.

Employment fell for a third consecutive month.

Backlogs also deteriorated further, as service sector outstanding work declined again and manufacturing work-in-hand contracted at a faster pace.

On the price front, inflationary pressures eased, with both input costs and output charges rising at the slowest pace so far in 2026, retreating from the VAT-driven spike seen earlier in the year.

Despite this moderation, cost increases remained relatively elevated.

Looking ahead, overall sentiment weakened, largely due to softer optimism among service providers, highlighting ongoing uncertainty in the outlook.



News Stream
Russia Private Sector Shrinks at Softer Rate
Russia’s S&P Global Composite PMI edged up to 49.1 in April 2026 from 48.8 in March. However, it signaled a second straight month of contraction in private sector activity, as manufacturing output and services stayed subdued. New orders declined again, with a renewed fall in services demand coinciding with a modest drop in manufacturing sales, pointing to weak overall demand conditions. Employment fell for a third consecutive month. Backlogs also deteriorated further, as service sector outstanding work declined again and manufacturing work-in-hand contracted at a faster pace. On the price front, inflationary pressures eased, with both input costs and output charges rising at the slowest pace so far in 2026, retreating from the VAT-driven spike seen earlier in the year. Despite this moderation, cost increases remained relatively elevated. Looking ahead, overall sentiment weakened, largely due to softer optimism among service providers, highlighting ongoing uncertainty in the outlook.
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