Nigeria: PMI ticks up in April
The Stanbic IBTC Bank Nigeria PMI improved to 51.1 in April from 51.0 in March. As a result, the index moved further above the 50.0 no-change threshold, and signaled a slightly faster improvement in private sector operating conditions compared to the previous month.
The modest increase in the PMI for April was primarily driven by a rise in new orders, as inflationary pressures began to ease. Moreover, output in the agriculture, manufacturing, and wholesale and retail sectors increased.
The improvement in the naira’s strength contributed to a significant slowdown in the rates of increase in purchase prices and output charges, although inflationary pressures remained substantial, affecting the overall growth pace of output and new orders. Lastly, business sentiment ticked down from March, remaining low historically, yet over half of the respondents anticipated an increase in activity over the next 12 months.