Kenya: PMI falls in January
February 3, 2017
The composite Purchasing Managers’ Index (PMI), produced by IHS Markit and CfC Stanbic Bank, decreased from 54.1 in December to 52.0 in January. The reading was the lowest since October 2016. Despite the fall, the index remains in expansionary territory, where it has been since the survey was launched in January 2014.
January’s slowdown reflects softer growth in output and new orders. Kenyan firms reported an increase in employment levels in order to meet growing backlogs of work. Input prices rose as a result of higher raw material costs. These were only partially priced into output prices.
Author: Christopher Mc Innes, Economist