Activity in the Russian service sector increased further in April, but at the slowest pace in eight months, data from a survey by Markit Economics and HSBC Bank showed Tuesday.
The seasonally adjusted purchasing managers' index for the service sector dropped to 53 in April from 54.6 in March, indicating the weakest growth since August 2012. An index reading above 50 indicates expansion in the sector, while one below suggests decline.
New business received by service providers rose further in April, continuing the trend seen since September 2010, and the rate of increase was little-changed from March's four-month low. Service sector firms increased their workforces in April, extending the trend started around two-and--half years ago.
Input prices paid by service sector companies increased sharply during the month, owing mainly to higher utility and fuel costs and growing tax burdens. In line with the rise in input costs, firms raised their charges at the fastest rate in seven months.
At the same time, the composite output index, which measures activity in both the manufacturing sector and the service sector, dropped to a nineteen-month low of 52.4 in April.
For comments and feedback: editorial@rttnews.com