CBN’s manufacturing index increases to 57.7 index points in April

Motolani Oseni

The Central Bank of Nigeria (CBN) has said its manufacturing the index has increased to 57.7 index points in April from 57.4 index points reported in March 2019.

The latest Purchasing Managers’ Index (PMI) Survey Report of the apex bank revealed that Manufacturing PMI has continued to expand for the 25th consecutive month.

According to the CBN report on Manufacturing PMI, “The index grew at a faster rate when compared to the index in the previous month.

12 of the 14 subsectors surveyed reported growth in the review month in the following order: electrical equipment; plastics & rubber products; cement; petroleum & coal products; transportation equipment; food, beverage & tobacco products; nonmetallic mineral products;

chemical & pharmaceutical products; furniture & related products; textile, apparel, leather & footwear; printing & related support activities and fabricated metal products.

“The paper products and primary metal subsectors recorded the decline in the review period.”

The report on production Level revealed that the index moved to 58.8 index points in April, an increase for the 26th consecutive month in April 2019.

“The index indicated a faster growth in the current month, when compared to its level in the month of March 2019,” the report by CBN said.

For New Orders, the report said, “At 57.2 points, the new orders the index grew for the 25th consecutive month, indicating an increase in new orders in April 2019.”

The report stated that the composite PMI for the non-manufacturing sector stood at 58.7 points in April 2019, indicating expansion in the Non-manufacturing PMI for the 24th consecutive month.

According to the CBN, the growth in PMI is contributed by continued stability in the foreign exchange market, improvements in the flow of financing resources to the real sector through the various interventions by the Bank,

effective implementation of the Economic Recovery and Growth Plan (ERGP) and the increase in non-oil sector Gross Domestic Product (GDP).