Russia's GDP Growth in October Accelerated to 2.5%
OREANDA-NEWS Russia's GDP growth in October accelerated to 2.5% year-on-year from 1.1% in September and August. This is stated in the review of the Ministry of economic development "Picture of business activity".
The report notes that "the increase in GDP growth in October compared to the previous month was primarily due to the reversal of the annual dynamics of production in agriculture, which showed an increase of 11.9% in annual terms after a decline of 6.0% in September and 11.3% in August."
The contribution to economic growth in October also contributed to the acceleration of industrial production and the volume of construction work, the review notes.
The growth of industrial production in Russia in October accelerated to 3.7% in annual terms from 2.1% in September. The growth in the construction sector was 2.9% after an increase of 0.1% last month. Retail trade in October gained 1.9% year-on-year after rising 2.2% in September.
Freight turnover in October showed a slightly negative annual dynamics (-0.1%) for the first time since November 2017 against the background of the deterioration of pipeline transport, which was associated with a slowdown in natural gas production due to warmer weather in most of Russia than a year earlier.
"The improvement in the annual dynamics of the manufacturing industry in October (to 2.7% in annual terms after a decline of 0.1% a month earlier) was partly due to the calendar factor. If in September the number of working days was 1 less than in the corresponding month last year, in October - on the contrary, 1 more", - noted in the Ministry.
According to preliminary estimates of Rosstat, in January-September 2018, Russia's GDP grew by 1.5% year-on-year. GDP growth in the third quarter Rosstat estimated at 1.3%.
According to the forecast of the Ministry of economic development, GDP in 2018 should increase by 1.8%. Central Bank of Russia expects sure that GDP growth at the end of this year at the level of 1.5-2%.