Regional Economy report: consumer activity remains high
In August—September, consumer activity was high, with diverse dynamics across regions. The tourist traffic increased, along with the demand for cars. Households demonstrated weaker demand for loans.
The expansion in economic activity in a number of sectors was associated with a shift in domestic demand towards domestic products. The output of pharmaceuticals in Siberia, of machinery and ships in the Volga Region, and of electrical equipment in the Urals increased. In Southern Russia, government support measures facilitated the expansion of dairy production. New sales channels allowed the wood processing companies of Central and North-Western Russia to ramp up their output.
The monthly consumer price growth accelerated and in annualised terms significantly exceeded the Bank of Russia’s target of close to 4%. Companies’ price expectations went up, whereas households’ inflation expectations were down, while remaining elevated.
More details are available in the October issue of the Regional Economy: Commentaries by Bank of Russia Main Branches report. The special topics of this issue include business activity, housing market and mortgages, as well as the harvest of 2024.