2021.05.0610:25:00UTC+00Russia Services Growth Slows In April

Russia's service sector grew at a softer pace in April, data from IHS Markit showed on Thursday.

The services Purchasing Managers' Index fell to 55.2 in April from 55.8 in March. Any reading above 50 indicates expansion in the sector.

New business increased for the fourth month in a row in April and the rate of new order growth quickened to the steepest since August last year.

The number of workforce increased at the fastest pace since February 2019 and backlogs of work declined further in April.

Input and output costs increased in April and the rates of inflation eased slightly.

Business expectations improved as the degree of confidence in output for the next 12 months increased to the highest since May 2019.

The composite output index fell to 54.0 in April from 54.6 in the previous month. The latest growth in the index was the second fastest since August last year. "The Central Bank of Russia raised the key policy rate once again in April in an effort to offset inflationary pressures, with a number of panelists noting greater imported goods costs in the latest survey," Sian Jones, senior economist at IHS Markit, said.