The real GDP growth rate slowed from 1.1% year-on-year in October to 0.7% in November. The reason is Russian shelling of energy and industrial infrastructure, the Institute for Economic Research (IER) stated. In particular, these most recent massive attacks led to the return of significant planned and emergency power outages, which affected both industrial enterprises and the civilian population.
The launch of decentralized power generation capacities by enterprises and the possibility to import electricity provided support for business stability during this time. Real gross value added (GVA) in the processing industry increased by 4.7% in November (5.2% in October). In the extractive sector, GVA remained at the November 2023 level due to growth in oil and gas production which compensated for the decline in coal and iron ore production. Real GVA in agriculture fell by 7% (down 8% in October). Real GVA in trade grew by 5.6% compared to 6.2% in October, driven by rising wage income. GVA in the transport sector grew by 8%.