S&P Global: Russia’s services sector PMI hits 12-m high

Russia’s services sector recorded its strongest expansion in a year in January, with the S&P Global Russia Services PMI rising to 54.6 from 51.2 in December. The latest S&P Global data signalled robust output growth, driven by improved demand conditions and a sharp rise in new orders.

New business increased for the seventh consecutive month, with firms citing service diversification as a key factor. Despite job creation, backlogs of work continued to rise, indicating ongoing capacity pressures.

Cost pressures intensified, with input prices rising at the fastest pace in a year due to higher supplier, transport, and wage costs. Firms responded by raising selling prices at the joint-quickest rate since July 2024.

Optimism for future output strengthened to a four-month high, supported by expectations of stronger demand and planned investments in new services and advertising.

Attribution: Amwal Al Ghad English

Subediting: M. S. Salama