Kazakh services conclude 2024 with marginal drop in activity, PMI shows

Kazakh services conclude 2024 with marginal drop in activity, PMI shows
/ S&P Global
By bne IntelliNews January 9, 2025

Kazakhstan’s service sector activity saw a marginal drop in December, following an expansion in November, according to purchasing managers’ index (PMI) data released by Freedom Holding and S&P Global on January 8.

The figures indicated “a slight decrease in business activity among Kazakh service providers during December. Nevertheless, demand trends continued to strengthen, as reflected in a modest, albeit slower expansion of new business. Rates of inflation in both input costs and output prices quickened in the final month of the year, but in both cases remained muted,” the accompanying statement issued with the PMI data said.  

The seasonally adjusted PMI services index for December fell to 49.7 from 50.8 in November (any reading below 50.0 indicates a contraction in business activity).

Yerlan Abdikarimov, director of the financial analysis department at Freedom Finance Global (100% subsidiary of the Freedom Holding), commented: "In December, while we saw a slight drop in activity within the service sector, signalled by the headline index dropping to 49.7, the broader trend of strengthening demand remained intact. Companies continued to attract new clients, with demand for services in Kazakhstan improving as the year ended.

"Employment within the sector continued to rise, albeit at a slower pace compared to previous periods. Although inflationary pressures, particularly on costs, have increased, they remain within manageable levels. Looking ahead to 2025, companies are confident that demand will sustain activity growth, and they are committed to further investment and enhancing the quality of their services."  

 

Data

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