Gulf Oil and Gas accountACCOUNT

Russia Economy – July 2013

Source: OPEC 7/31/2013, Location: Asia

Manufacturing growth, as shown by the HSBC manufacturing PMI, exhibited better performance in June as it rose for the first time since the beginning of the year. This came after the 1.4% y-o-y slide in May‘s industrial production. The PMI rose from 50.4 in May to 51.7 in June, its four-month best reading. This notable development indicates better new orders, higher domestic demand and a slight increase in export orders.

Unemployment slid in May to its lowest rate since September 2012 to 5.2% from 5.6% the previous month. The unemployment rate stayed no higher than 6% for 14 months. This positive trend, however, may not sustain amid official signals of the need to reduce the government workforce for the sake of enhancing productivity and curbing operational costs. Russia‘s public sector employs around one quarter of the total labour force.

Similar to what other emerging and developing economies experienced last month, Russia suffered from difficulties in bond sales ? ruble-denominated assets ? actually cancelling two auctions last month due to a lack of competitive bids amid a hike in borrowing costs, stemming from mounting speculation over the US Fed‘s potential to taper off its asset purchasing programme aimed at stimulating the economy. This unexpected hurdle, if it continues, would further restrict the federal budget, which was running a surplus last year until November. It moved into deficit territory in December on a traditional spending surge.

Inflation, measured by y-o-y consumer price, increased to 7.38% in May from April‘s 7.23% while official figures indicated a deceleration in consumer spending and disposable incomes in the same month. Real disposable income slipped 1.3% from a year earlier after a revised 7.5% perk up in April. Retail sales rose 2.9% from a year earlier compared to a 4.1% climb in April.

Capital investment experienced no change in the first quarter over last year. In the meantime, first-quarter exports of crude oil, oil products and natural gas cooled by 6.3%, 5.5% and 1.6% from last year‘s first quarter, respectively. That said, it seems that global commodity prices are exerting a downward pressure on export growth, a central source of revenue.

This year‘s GDP projection has been revised down by 0.3 percentage points to 2.6% this month due to not-so-promising total investment development and slowing first quarter export revenues, especially from crude oil, oil products and natural gas. It is expected that the Russian economy will recover and grow by 3.0% in 2014.

Economics/Financial Analysis News in Russia >>

Azerbaijan >>  4/16/2019 - Turan Drilling & Engineering Company LLC (A KCA Deutag and SOCAR AQS Company) has been awarded its first contract, which is with BP Exploration (Caspi...
Russia >>  4/10/2019 - Zvezda Shipbuilding Complex and Sovkomflot PJSC have signed a contract to make a pilot gas carrier vessel for the Arctic LNG 2 project. The contract s...

India >>  4/8/2019 - Axens’ Technologies for HPCL Rajasthan Refinery in HPCL Rajasthan Refinery Limited (HRRL), a joint venture company between HPCL and the Government of ...
China >>  4/5/2019 - Woodside has signed a Heads of Agreement (HOA) with ENN Group for the sale of 1.0 million tonnes of LNG per annum from Woodside’s portfolio for a per...

Russia >>  4/2/2019 - During the 19th International Conference & Exhibition on Liquefied Natural Gas (LNG2019) in Shanghai, Novatek Gas & Power Asia, a trading subsidiary o...
Indonesia >>  3/25/2019 - TechnipFMC has been awarded a large(1) integrated Engineering, Procurement, Construction, Transportation and Installation (iEPCI) contract by Eni for ...

Related Categories: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Industrial Development  Insurance  Investment  Mergers and Acquisitions  Risk Management 

Related Articles: Accounting, Statistics  Acquisitions and Divestitures  Asset Portfolio Management  Economics/Financial Analysis  General  Insurance  Investment  Mergers and Acquisitions  Risk Management 

Russia Oil & Gas 1 >>  2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 24 | 25 | 26 | 27 | 28 | 29 | 30 | 31 | 32 | 33 | 34 | 35 | 36 | 37 | 38 | 39 | 40 | 41 | 42 | 43 | 44 | 45 | 46 | 47 |

More News

Related Links

Gulf Oil and Gas
Copyright © Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.