South Africa: Expansion in manufacturing PMI slows down in May
June 1, 2017
Business activity in South Africa’s private sector expanded for a ninth consecutive month in May, which is the longest sequence of positive readings in five years. The Standard Bank Purchasing Managers’ Index (PMI) inched down from 50.3 in April to 50.2 in May, remaining just above the 50-mark, signaling the weakest expansion in South Africa’s business activity in nine months.
May’s print reflected almost stagnant growth in output and new orders. Purchases of inputs by manufacturing firms decreased as overall workloads were broadly unchanged while suppliers’ delivery times lengthened for the fifth consecutive month. Job creation increased for the eleventh month running as good producers hired more staff to accommodate higher volumes of new orders.