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Friday, 29 September 2017

Nigeria’s Manufacturing Index Sustains Upswing in September

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Nigeria’s Manufacturing Purchasing Managers’ Index (PMI) stood at 55.3 index points in September 2017, indicating expansion in the manufacturing sector for the sixth consecutive month.

The PMI is an indicator of the economic health of the manufacturing sector. The PMI is based on five major indicators: new orders, inventory levels, production, supplier deliveries and the employment environment.

According to the PMI report posted on the central bank’s website yesterday, 14 of the 16 sub-sectors reported growth in the review month in the following order: appliances & components; electrical equipment; chemical & pharmaceutical products; nonmetallic mineral products; printing & related support activities; plastics & rubber products; food, beverage & tobacco products; furniture & related products; transportation equipment; cement; paper products; computer & electronic products; textile, apparel, leather & footwear and fabricated metal products.

But, the primary metal and petroleum & coal products subsectors contracted in the review month.
Also, the production level index for the manufacturing sector grew for the seventh consecutive month in September 2017.

The report showed that at 58.8 points, the index indicated an increase in production at a faster rate, when compared to its level in the preceding month. Thirteen of the sixteen manufacturing subsectors recorded increase, while three subsectors declined during the review month.

At 53.5 points, the new orders index grew for the sixth consecutive month. Ten sub-sectors reported growth, while six subsectors contracted in the month of September, 2017.

However, the supplier delivery time index for the manufacturing sector, at 55.4 points in September 2017, rose for the fourth consecutive month. Twelve sub-sectors recorded improved suppliers’ delivery time, two remained unchanged while two subsectors recorded delayed delivery time.

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