Business activities rising as CBN Purchasing Manager’s Index inches to 57.6 in July

The manufacturing Purchasing Manager’s Index (PMI) of the Central Bank of Nigeria (CBN) increased to 57.6 points last July from a three-month low of 57.4 in the previous month. This came as new orders rose to 57.2 as against 55.9 in June, and stock of finished goods increased to 51.5 from 51.1 while production was down to 58.2 from 59.3 and employment 57.3 vs 57.5 went up at a softer pace.

Meantime, new export orders dropped further from 41.1 to 38 points. On the price front, both input inflation, 59.5 from 62.7 and output price inflation 52.2 vs 52.4 slowed. Manufacturing PMI in Nigeria averaged 51.99 from 2014 until 2019, reaching an all time high of 61.10 in December of 2018 and a record low of 41.90 in June of 2016.

The Manufacturing and Non-Manufacturing PMI Report on businesses is based on survey responses, indicating the changes in the level of business activities in the month compared with the preceding month.

The composite PMI level of new orders, suppliers’ delivery time, employment level and raw materials inventory/work in progress, with assigned weights of 25 per cent, 30 per cent, 15 per cent, 10 per cent and 20 per cent, respectively. The composite PMI for the non-manufacturing sector is computed from four indices, namely: business activity, level of new orders, employment level and raw materials inventory, with equal weights of 25 per cent each.

A composite PMI above 50 points indicates that the manufacturing/non-manufacturing economy is generally expanding 50 points indicates no change and below 50 points indicates that it is generally contracting.

The subsectors reporting growth are listed in the order of highest to lowest growth, while those reporting contraction are listed in the order of the highest to the lowest contraction.

NAIJAXTREME, MD, USA

Leave a Reply

Your email address will not be published.

Next Post

Crossing the Jonah and Dickson’s hurdle ahead of Bayelsa poll

Fri Aug 16 , 2019
Governor Seriake Dickson of Bayelsa. Politicking is about group interests, intrigues, surprises, and calculations. All these are at play in the politics of who takes over from ‘Country Boy’ governor, Seriake Dickson, of Bayelsa State. The riddle that is being solved in Bayelsa right now is who would fit the […]
20130730-154730

Looking For More?