Nigeria: PMI falls to record low in June
July 5, 2016
In June, the Stanbic IBTC Bank Nigeria Purchasing Managers’ Index (PMI) fell from May’s 49.2 to 47.3, the lowest level on record. As a result of June’s deterioration, the indicator dipped further below the 50-threshold that separates contraction from expansion in business conditions.
June’s decrease reflected a fall in new orders and output. On the upside, employment and purchasing activities improved in the same month. Commenting on the result, Markit analysts added that, “The deterioration in economic conditions was perhaps exacerbated by the scarcity of foreign exchange for import-related trade activities, continued disruption to electricity supply as well as higher headline inflation.”
Author: Christopher Mc Innes, Economist