Israel: Manufacturing PMI falls to over 11-year low in March
The Purchasing Managers’ Index (PMI), produced by Bank Hapoalim and the Israeli Purchasing & Logistics Managers Association (IPLMA), fell from 45.3 in February to 34.6 in March, moving further below the neutral 50-mark separating expansion from contraction in the manufacturing sector.
The fall in the headline figure was driven chiefly by lower domestic and external demand, and employment, as the Covid-19 pandemic hurt activity. According to Bank Hapoalim economists: “There is considerable variation between firms: those engaged in the production of food and medicines for example, their activities are hardly affected. On the other hand, companies whose products are intended for export are now facing great uncertainty.”