Ireland: Services PMI dips to one-year low in March
April 7, 2015
The Investec Services Purchasing Managers’ Index (PMI) inched down from February’s 61.4 to 60.9 in March, the lowest level in a year. Despite this moderation, the index remained well above the 50-threshold that indicates expansion in the services sector.
March’s moderation mainly reflected that new business and employment grew at a softer pace than in the previous month. However, according to the survey report, businesses still, “generally expect economic conditions to improve further over the coming 12 months, leading to growth of activity.” Backlogs of work rose for a 22nd straight month and both input and output prices increased in March.
According to the survey report, “Irish services companies benefited from healthy demand from both domestic and overseas customers. The New Orders index, despite expanding at a slower pace of growth in March, is still well above the series average. The New Export Orders index ticked up marginally in March, helped by supportive currency moves (the UK was mentioned as a key source of new work during the month).”