Manufacturing composite index rises to 59.3 per cent

The Manufacturing and non manufacturing businesses sustained expansion at the end of December last year.
The Central Bank of Nigeria Purchase Manager Index showed that 30 out of the 34 subsectors surveyed during the month recorded expansion, up from 27 subsectors that reported in November 2017 while one sector remained unchanged.
The CBN PMI report showed that the manufacturing composite index increased to 59.3 index points indicating expansion in the manufacturing sector for the ninth consecutive months against 55.9 index points reported the previous month.
The apex bank report said that 15 out of the 16 subsectors reported growth within the period under review.
They include petroleum & coal products; textile, apparel, leather and footwear; cement; transportation equipment; paper products; food, beverage & tobacco products; furniture & related products; plastics & rubber products; nonmetallic mineral products; printing & related support activities; appliances and components; chemical & pharmaceutical products; fabricated metal products; primary metal and electrical equipment.
The computer & electronic product sector on the other hand contracted in the review month. The increase in manufacturing composite PMI was driven by faster expansion in new orders to 60.0.
The boost in real sector activity according to financial analysts could be partly attributed to growing demand for goods and services on the back of improving purchasing power domestically.
The production level index for the manufacturing sector grew for the tenth consecutive month rising to 63.2 points, representing an increase in production in the current month, when compared to its level in the preceding month.
The employment level index within the period stood at 53.9 points, indicating growth in employment level. The index report said that Of the 16 subsectors, nine subsectors increased their employment level, three remained unchanged while four subsectors reduced their employment level in the review month.
Similarly, the composite PMI for the non-manufacturing sector went to 62.1 points, showing expansion in the Non-manufacturing PMI. It said that 15 of the 18 non-manufacturing subsectors recorded growth ranging from arts, entertainment & recreation; agriculture; transportation &warehousing; utilities; water supply, sewage & waste management; finance & insurance; health care & social assistance; real estate, rental & leasing; wholesale trade; accommodation & food services; electricity, gas, steam & air conditioning supply; educational services; construction; information & communication and professional, scientific, & technical services. The management of companies remained unchanged, while the public administration and repair, maintenance/washing of motor vehicles… subsectors recorded contraction in the review period.