Nigeria: Business conditions improve in the final month of 2020
January 6, 2021
The Stanbic IBTC Bank Nigeria Purchasing Managers’ Index (PMI) rose to 51.8 in December from November’s 50.9. A such, the index moved further above the 50-threshold, indicating an improvement in business conditions compared to the previous month.
December’s improvement largely came on the back of rising output and new orders, after nationwide protests weighed on operation in November. On the price front, input cost inflation picked up sharply amid rising prices for materials, while output charges rose as firms passes on higher costs to their customers. Lastly, sentiment hit a five-month high as firms turned more optimistic regarding the outlook on output ahead.
Author: Hanna Andersson, Economist