Kenya: PMI points to expansion in March despite moderation
April 7, 2015
The composite Purchasing Managers’ Index (PMI), which is produced by Markit and CfC Stanbik Bank, inched down from February’s 54.8 to 53.8 in March. Nevertheless, the index remains above the 50-threshold, which points to expansion in business activity.
According to Markit, March’s moderation reflects that output, new orders, new export business, purchasing activity and employment all expanded at a slower pace than in the previous month. Cost pressures continued to be modest in March, as purchasing prices and staff costs both recorded modest increases. Output charges decreased for a second consecutive months. Markit commented that despite March’s moderation, “we remain optimistic that the business operating environment remains favourable for the private sector and a shift in the monetary policy stance isn’t needed for now.”