REUTERS

Activity in Russia’s manufacturing sector expanded at its fastest pace in almost seven years in December, a business survey showed on Friday, though new export orders contracted for the second month running.

The S&P Global Purchasing Managers’ Index (PMI) for manufacturing rose to 54.6 in December from 53.8 in November, moving further above the 50 mark that separates expansion from contraction. It was the highest reading since January 2017.

Output rose at its fastest pace in seven months and new orders also increased sharply again.

“Greater client demand was largely focused on the domestic market, however, as new export orders fell for the second month running,” S&P Global said in a statement.

“Fewer customer requests from clients in key export markets led to the fastest fall in new business from abroad since July.”