Kazakhstan’s industrial output fell 5.3% y/y in May, to register its sharpest annual decline in nine months, data from the State Statistics Office showed.
Kazakh industrial production has been declining since early 2014 and the latest figures showed the trend is deepening. In April, industrial output shrank by 3.1% y/y. The slump mainly reflects falling oil production as low oil price has made production at some old oil fields unprofitable.
Across the first five months of 2016, industrial output decreased 2.2% y/y, to follow a 1.4% y/y drop in January-April.
The statistics office said oil and gas condensate output fell by 4.4% y/y to 32.4mn tonnes in January-May, while output of copper ore increased by 106.9% y/y to 28.3mn tonnes. Production of flour grew by 20% y/y to 1.7mn tonnes, of petrol by 13.3% y/y to 1.3mn tonnes and of gasoils (including diesel fuel) by 6.8% y/y to 1.9mn tonnes. Production of Portland cement increased by 3% y/y to 3mn tonnes, of flat-rolled products by 7.4% y/y to 1.1mn tonnes and of refined copper by 9.2% y/y to 0.2mn tonnes. Power generation rose by 0.1% y/y to 39.4bn kWh in January-May.