The Central Bank of Nigeria (CBN) has said the Purchasing Manufacturing Index (PMI) increased for the sixth consecutive Month to 55.3 Index points in September 2017, indicating rapid growth in the manufacturing sector.
The apex bank said it based its composite PMI for the manufacturing sector on five indicators that include production, new orders, supplier delivery time, employment level and raw materials inventory. The PMI, is an indicator of the economic health of the manufacturing sector.
The PMI report by the CBN, on Thursday, disclosed that, 14 of the 16 sub-sectors reported growth in the review month in the following order: appliances & components; electrical equipment; chemical & pharmaceutical products; nonmetallic mineral products; printing & related support activities; plastics & rubber products and food, beverage & tobacco products.
Others are, “furniture & related products; transportation equipment; cement; paper products; computer & electronic products; textile, apparel, leather & footwear and fabricated metal products. The primary metal and petroleum & coal products sub-sectors contracted in the review month.”
The production level index for the manufacturing sector grew for the seventh consecutive month in September 2017.
According to the report, “At 58.8 points, the index indicated an increase in production at a faster rate, when compared to its level in the preceding month. Thirteen of the sixteen manufacturing sub-sectors recorded increase, while three sub-sectors declined during the review month.”
For New order, at 53.5 points, the new orders index grew for the sixth consecutive month. 10 sub-sectors reported growth, while six sub-sectors contracted in the month of September, 2017
Also, The CBN report said, “the supplier delivery time index for the manufacturing sector, at 55.4 points in September 2017, rose for the fourth consecutive month. Twelve sub-sectors recorded improved suppliers’ delivery time, two remained unchanged while two sub-sectors recorded delayed delivery time.”
“The employment level index in September 2017 stood at 52.8 points, indicating growth in employment level for the fifth consecutive month. Of the 16 sub-sectors, six recorded growth, four remained unchanged while the other six sub-sectors recorded decline in employment level.
“At 56.4 points, raw materials inventories index grew for the sixth consecutive month, and at a faster rate when compared to its level in August 2017. 12 of the 16 sub-sectors recorded growth, one remained unchanged and the remaining three sub-sectors recorded decline in inventories,” the report added.