South Africa: PMI improves markedly in March
April 6, 2015
The HSBC Purchasing Managers’ Index (PMI) rose from 50.0 in February to 51.6 in March, which marked the highest figure in five months. As a result of the monthly increase, the index is now above the 50-threshold, which separates expanding from contracting conditions in business activity.
March’s increase came mainly on the back of an increase in new orders, which increased for the first time since November. Conversely, new export business recorded further decreases in March. According to HSBC, “the combination of increased new order intakes, rising buying activity and an accumulation of pre-production inventories suggests that we should expect further output growth in coming months.”
Author: Dirina Mançellari, Senior Economist