Industrial production during the first eight months was 0.7 percent lower than in the same period last year.
At the end of April, the decline was much deeper – as much as 6.5 percent. The effect of the processing industry had a decisive influence. Electricity production decreased by 2.6 percent in this period, while mining recorded a growth of 3.2 percent, according to “Macroeconomic Analysis and Trends”.
A positive contribution in the processing industry, in June, was given by 15 areas, and most of all by the oil, food and pharmaceutical industry. In August, the contribution was positive in 11 areas, mostly in the production of metal products, clothing, base metals and the chemical industry. In contrast, six areas made a negative contribution in June – primarily the production of motor vehicles and trailers, base metals and rubber and plastic products.
– After an extremely deep decline in economic activity in April due to the effects of the pandemic and only a partial recovery in May, data for the next three months followed which show that the recovery is far faster than expected – say MAT economists. – Industrial production and trade grew, and foreign trade, after a record decline in April and May, mitigated the year-on-year decline over the next three months. After a record year-on-year decline in total industrial production and manufacturing output in April, growth in the following months brought these values to levels above the previous year’s average as early as July. In August, that level was further increased.
In April, both exports and imports were reduced by more than a quarter. In May, that decline was only symbolically reduced, and in June and July, the rate of year-on-year decline was reduced to single digits. In August, the decline is almost symbolic. Experts say that there are no clear indicators on the dynamics of investments. From some it can be indirectly concluded that they are also recovering, but some do not support such a conclusion, Novosti reports.
