Nigeria’s official manufacturing Purchasing Managers’ Index (PMI) reached 57.6 index points in July compared to previous month’s reading of 57.4, the Central Bank of Nigeria’s (CBN) PMI July 2019 report, released yesterday, shows.
According to CBN, “a composite PMI above 50 points indicates that the manufacturing/non-manufacturin
The apex bank, thus stated in the report that: “Manufacturing PMI in the month of July stood at 57.6 index points, indicating expansion in the manufacturing sector for the twenty-eighth consecutive month. The index grew at a faster rate when compared to the index in the previous month.”
Specifically, CBN said: “Of the 14 subsectors surveyed, 13 reported growth in the review month in the following order: petroleum & coal products; transportation equipment; cement; printing & related support activities; paper products; food, beverage & tobacco products; furniture & related products; fabricated metal products; nonmetallic mineral products; plastics & rubber products; primary metal; chemical & pharmaceutical products; and electrical equipment. The textile, apparel, leather & footwear subsector recorded decline in the review period.”
The PMI report also stated that at 58.9 points, the production level index for the manufacturing sector grew for the twenty-ninth consecutive month in July 2019. It, however, noted that the index indicated a slower growth in the current month, when compared to its level in the month of June 2019.
Furthermore, the report showed that at 57.2 points, the new orders index grew for the twenty-eighth consecutive month, indicating increase in new orders in July 2019.
Similarly, the report stated that the manufacturing supplier delivery time index stood at 57.5 points in July 2019, indicating faster supplier delivery time. It noted that the index has recorded growth for 26 consecutive months.
In addition, the report shows that the employment level index for July 2019 stood at 57.3 points, indicating growth in employment level for 27th consecutive month.
According to the report, “of the 14 sub- sectors, 10 reported increased employment level, one reported unchanged employment level while three reported decreased employment in the review month.”
Although the report stated that the PMI for the non-manufacturing sector expanded for the twenty-seventh consecutive month, rising to 58.7 points in July 2019 from 58.6 points in the previous month, it noted that for the non-manufacturing sector “new orders and inventories grew at a faster rate, while business activity and employment level grew at a slower rate in July 2019.”