Serbia's industrial production increased 6.2% y/y in May, following a 0.1% y/y drop in April, the country's statistics office reported on June 30.

Industrial production in Serbia has improved for two years in a row, growing 4.7% y/y in 2016 after an 8.4% y/y expansion in 2015. Previously, in 2014, the country was hit by devastating floods resulting in a 6.5% contraction in industrial production

The latest statistical office data indicate that the strengthening in May compared to the same month of 2016 was mainly a result of the 10% y/y hike in mining and the 9.2% y/y increase in manufacturing. On the other hand, a fall of 2.3% was recorded in production of electricity, gas, steam and air conditioning supply.

Across the industrial sector, production volumes increased compared to May 2016 in 21 segments accounting for 68% of total production, while output fell in eight segments accounting for the remaining 32% of production

The largest influence on industrial production growth in May 2017 compared to May 2016 was from manufacture of chemicals, manufacture of food products, manufacture of machinery and equipment, manufacture of metal products and coal mining, the statistical office said on June 30.

The seasonally adjusted industrial production index for May compared to April indicates a 4.1% rise in overall industrial production and 3.3% growth of manufacturing output.

Meanwhile, the seasonal adjustment of the industrial production index for May compared to the 2016 average indicates a 5.7% growth in overall industrial production and 8.8% growth of manufacturing.

The statistical office added that industrial production in January-May, compared with the same period of 2016, increased by 1.2%, as a result of the 6.3% increase recorded in manufacturing.