Nigeria’s economic activities record 13 months contraction- CBN
CBN Headquarters
Nigeria’s economic activities record 13 months contraction- CBN
Nike Popoola
Economic activities in Nigeria recorded contraction in 13 months.
The Purchasing Manager’s Index (PMI) Survey Report obtained by Dailyeconomy from the Central Bank of Nigeria (CBN), revealed on Wednesday.
The report said, “In July 2024, the composite PMI stood at 49.7 points indicating contraction in economic activities for the thirteenth consecutive month. However, the index shows improvement compared to the 48.8 points recorded in the previous month.
“Furthermore, Output Level, Suppliers’ Delivery Time and Stock of Inventory expanded. New Orders and Employment contracted at a slower rate compared to the levels recorded in the previous month.”
The sectoral breakdown shows that the Services Sector recorded expansion for the second consecutive month while the Industry and Agricultural Sectors registered slower contraction when compared to the level recorded in the previous month.
Within the Industry Sector, the Manufacturing, Construction and Mining & Quarrying; Electricity, Gas & Water Supply Subsectors all recorded contractions in the review month.
The CBN stated that the July 2024 Purchasing Managers’ Index (PMI) survey was conducted from July 15-19, 2024, to gauge the direction of economic activities in Nigeria for the month.
The survey respondents were the company’s Purchasing and Supply Executives, drawn from the three sectors of the economy, namely: Agriculture, Industry, and Services.
The PMI is computed based on responses regarding the direction of change in different aspects of respondents’ business activities. An index above 50.0 points indicates an expansion in business activities while below 50.0 points indicates a contraction in business activities. An index of 50.0 indicates a no-change situation.
Dailyeconomy had reported on July 13 that the CBN announced its decision to reintroduced the publication of several key economic reports to promote more inclusive economic discourse.
