Nigeria’s manufacturing Purchasing Managers’ Index (PMI), a gauge for manufacturing sentiments, moved back into positive territory in February 2021 after recovering from 44.5 in January to 53.0 points, according to data by FBN Quest and NOI.
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The index had declined sharply from 55.0 in December 2020 to 44.5 in January.
“The good recovery was driven by medium-sized and small firms,” analysts at FBN Quest said. PMI
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“Among their positive responses, we note an improvement in demand; a full month’s production (whereas many firms resumed late in January after the holidays); and an easing of COVID-related restrictions.”
Manufacturers in Nigeria are beginning to see increased demand for their goods as the economy gradually turns the corner on a brutal pandemic last year.
The economy exited recession in the fourth quarter of 2020 after two-quarters of successive declines even though there was a contraction of 1.92 percent for the full year.
PMI, unlike the national accounts, are forward-looking indicators. They can move financial markets, at least in advanced economies and the large emerging markets.
Nigeria’s manufacturing Purchasing Managers’ Index (PMI), a gauge for manufacturing sentiments, moved back into positive territory in February 2021
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