Egypt: PMI rises to 10-month high in February
The S&P Global Purchasing Managers’ Index (PMI) came in at 46.9 in February, up from January’s 45.5. As a result, the index remained below the 50.0 no-change threshold, signaling a continued deterioration in private sector operating conditions from the previous month.
In February, the rates of contraction in new orders, purchasing and output eased yet remained marked, while business sentiment was near to a record low. Meanwhile, input cost inflation ebbed, which fed through to softer output price inflation.
David Owen, senior economist at S&P Global Market Intelligence, said:
“Continued demand weakness, persistent inflation and ongoing import controls to restrict FX flows mean that companies are likely to face a prolonged downturn in 2023. While initial signs of a pick-up in the global economic landscape may help to bring some stabilisation, S&P Global Market Intelligence believes that FX markets are not yet at their equilibrium state and that inflation will likely remain in double-digits this year.”