…As firms’ confidence in economy grow
By Elizabeth Adegbesan
The Manufacturing Purchasing Managers Index (PMI) rose for the 33rd consecutive month to 60.8 index points in December 2019. This represents 1.5 index points increase when compared to 59.3 index points recorded in the previous month.
The Non-Manufacturing PMI rose for the 32nd consecutive month to 62.1 index points in December, 2019 representing 2.0 index points increase when compared to the 60.1 index points recorded in November.
A PMI reading above 50 points indicates expansion in economic activity, while PMI reading below 50 points indicates contraction in economic activities.
In its PMI report for December 2019, released yesterday, the Central Bank of Nigeria, CBN, noted that all the 31 subsectors surveyed in the Manufacturing sector and Non-Manufacturing sector recorded growth.
The report stated: “The manufacturing PMI in the month of December stood at 60.8 index points, indicating expansion in the manufacturing sector for the thirty-third consecutive month. The index grew at a faster rate when compared to the index in November.
“ All the 14 surveyed subsectors reported growth in the review month in the following order: petroleum & coal products; transportation equipment; plastics & rubber products; food, beverage & tobacco products; fabricated metal products; furniture & related products; primary metal; chemical & pharmaceutical products; printing & related support activities; textile, apparel, leather & footwear; cement; paper products; electrical equipment; and non-metallic mineral products.”
On the Non-Manufacturing PMI, the report stated: “The composite PMI for the non-manufacturing sector stood at 62.1 points in December 2019, indicating expansion in Non-manufacturing PMI for the thirty-second consecutive month. The index grew at a faster rate when compared to its level in November 2019.
“All 17 surveyed subsectors recorded growth in the following order: management of companies; repair, maintenance/washing of motor vehicles; water supply, sewage & waste management; arts, entertainment & recreation; real estate rental & leasing; utilities; finance & insurance; transportation & warehousing; accommodation & food services; wholesale/retail trade; educational services; construction; information & communication; professional, scientific, & technical services; health care & social assistance; electricity, gas, steam & air conditioning supply; and agriculture.”