Manufacturing PMI Stands at 56.2% in September 2018 from 57.1% in August 2018

Proshare

Wednesday, October 03, 2018 / 11:03 AM / CBN

 

Introduction

The September 2018 PMI survey was conducted by the Statistics Department of the Central Bank of Nigeria during the period September 10-17, 2018. The respondents were purchasing and supply executives of manufacturing and non-manufacturing organizations in all 36 states in Nigeria and the Federal Capital Territory (FCT) (Fig. 1).

 

The Bank makes no representation regarding the individual companies, other than the information they have provided. The data contained herein further provides input for policy decisions

 

Proshare Nigeria Pvt. Ltd. 

 

Data and Method of Presentation

The Manufacturing and Non-Manufacturing PMI Report on businesses is based on survey responses, indicating the changes in the level of business activities in the current month compared with the preceding month. For each of the indicators measured, this report shows the diffusion index of the responses.

 

The diffusion index is computed as the percentage of responses with positive change plus half of the percentage of those reporting no change, except for supplier delivery time, which is computed as the percentage of responses with negative change plus half of the percentage of those reporting no change. The composite PMI for the manufacturing sector is computed as the weighted average of five diffusion indices, namely: production level, level of new orders, suppliers’ delivery time, employment level and raw materials inventory/work in progress, with assigned weights of 25%, 30%, 15%, 10% and 20%, respectively.

 

The composite PMI for the non-manufacturing sector is computed from four diffusion indices, namely: business activity, level of new orders, employment level and raw materials inventory, with equal weights of 25% each.

 

A composite PMI above 50 points indicates that the manufacturing/non-manufacturing economy is generally expanding, 50 points indicates no change and below 50 points indicates that it is generally contracting. The subsectors reporting growth are listed in the order of highest to lowest growth, while those reporting contraction are listed in the order of the highest to the lowest contraction.

 

Manufacturing PMI Report

 

Proshare Nigeria Pvt. Ltd.

 

The Manufacturing PMI in the month of September stood at 56.2 index points, indicating expansion in the manufacturing sector for the eighteenth consecutive month. (Fig. 3 and Table 1).

 

The index however grew at a slower rate when compared to the index in the previous month. Of the 14 subsectors surveyed, 10 reported growth in the review month in the following order: Electrical equipment; Printing & related support activities; Transportation equipment; Nonmetallic mineral products; Chemical & pharmaceutical products; Fabricated metal products; Furniture & related products; Textile, apparel, leather & footwear; Food, beverage & tobacco products; and Plastics & rubber products.

 

The Petroleum & coal products; Cement; Paper products; and Primary metal subsectors declined in the review month.

 

Proshare Nigeria Pvt. Ltd.

 

Production Level

At 58.4 points, the production level index for the manufacturing sector grew for the nineteenth consecutive month in September 2018. The index indicated a slower growth in the current month, when compared to its level in the preceding month. Ten of the 14 manufacturing subsectors recorded increase in production level, 1 remained unchanged while 3 declined (Fig. 4 and Table 2).

 

Proshare Nigeria Pvt. Ltd.

 

New Orders

At 55.3 points, the new orders index grew for the eighteenth consecutive month, indicating increase in new orders in September 2018. Nine subsectors reported growth, 2 remained unchanged, while 3 contracted in the review month (Fig. 5 and Table 3).

 

Proshare Nigeria Pvt. Ltd.

 

Download PDF Here

 

 Proshare Nigeria Pvt. Ltd.

 

Related News

1.       Nigeria PMI - September Data Indicates Slowing Momentum

2.      Manufacturing PMI Stands at 57.1% In August 2018 from 56.8% in July 2018

3.      Manufacturing PMI Stands at 56.8% in July 2018 from 57.0% in June 2018

4.      Driving Effective Fiscal Spending In Nigeria as A Part Of Fiscal Consolidation

5.      Nigeria’s July, 2018 Inflation: 5 Things to Note

6.      Headline Inflation Slips to 11.14% in July 2018

7.      Inflation Declines in July, But Upside Risk Abounds

8.     Headline Inflation Drops to 11.14% in July 2018; 0.09% Lower Than June 2018 Rate

9.      Manufacturing PMI Stands at 57.0% in June 2018 from 56.5% in May 2018

10.  Nigeria PMI- Slightly Brisker Economic Expansion in June

11.   Domestic Economy - Lingering Negative Output Gaps

12.  Nigeria’s Trade Statistics – Oil Dependence Persists

13.  Investment in Human Capital Remains Key to Unlocking Nigeria’s Economy

READ MORE:
Related News
SCROLL TO TOP