Page 49 - RusRPTApr20

He stressed that “each country has its own middle class” and it would be wrong to associate the middle-class lifestyle with the way they live in France, Germany, or the US
Putin spotlighted the World Bank’s method of estimating the middle class, which sets the benchmark at household incomes of at least 150% of the minimum wage. “There are a lot of such people. Well above 70%,” he said, adding because the average wage in Russia was way above the minimum wage, which in 2019 stood at 11,280 rubles ($142).
4.5.2 Income dynamics
Real wages growth remained strong at +9.1% y/y in nominal and +6.5% y/y in real terms in January.
The most significant growth rates were recorded in postal & courier activities (+18.6% y/y), fishing (+15.2% y/y), basic metals production (+13.4% y/y), financial & insurance activities (+11.6% y/y). The laggards were coal (1.7% y/y), petrochemicals (+2.7% y/y), furniture production (+1.0% y/y).
In case of financial activities, basic metals production, coal and furniture production, wage growth is well aligned with net corporate profits growth in 2019; whereas, for example, in tobacco products or postal activities the link between the two is hardly observable.
49 RUSSIA Country Report April 2020 www.intellinews.com