The Manufacturing Purchasing Managers’ Index (PMI), for the month of December, witnessed a contraction, which stood at 49.6 index points, indicating a contraction from the expansionary level recorded in the month of November 2020.
The Central Bank of Nigeria (CBN) revealed this in its PMI report for December 2020 posted on its website.
According to the report, of the 14 surveyed sub-sectors, four sub-sectors reported expansion (above 50% threshold) in the review month in the following order: Transportation equipment, Non-metallic mineral products, paper products and food, beverage and tobacco products.
Others were textile, apparel, leather and footwear sub-sector remained stationary.
On the other hand, the remaining nine sub-sectors reported contractions in the following order: primary metal, petroleum and coal products; cement, electrical equipment, fabricated metal products, printing and related support activities, plastics and rubber products; chemical and pharmaceutical products and furniture and related products.
Also, the December 2020 production level index for the manufacturing sector stood at 51.6 points, indicating expansion for two consecutive months. The report showed that of the 14 sub-sectors surveyed, six sub-sectors recorded an increased production level, four sub-sectors reported stationary level of production, while four sub-sectors recorded declines in production in December 2020.
“The new orders expanded for the third consecutive months in the month of December. The index stood at 50.2 points in December 2020.
“Five sub-sectors reported expansion in new orders, two sub-sectors remained stationary while the remaining seven recorded contraction in the review month.
“The manufacturing supplier delivery time index stood at 51.2 points in December 2020, this indicates that supplier delivery time was faster for the eighth consecutive months.
“Eight of the 14 subsectors recorded improved suppliers’ delivery time, three sub-sectors remained stationary, while three sub-sectors recorded slower delivery time,” the report stated.