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Industrial Sector in Q1 2019: Output Growth is Hampered by Insufficient Domestic Demand

Sergey V. Tsukhlo – Head of Business Surveys Department of the Gaidar Institute, Candidate of Economic Sciences (Moscow, Russia). E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

In the first months of 2019, Russian industry preserved output growth amid the recovery of the sales upward dynamics and around zero balance estimates of finished goods inventory. Nearly half of enterprises consider insufficient demand a major setback for significant output growth. Nevertheless, grounds for optimism remain regarding output plans and workers recruitment. The scale of investment satisfied around two thirds of industrial enterprises.

Key words: Russian industry, demand, output, employment, finished goods inventory, industrial lending, personal, investments, actual changes and expectations.