The Nigerian manufacturing sector has reported an expansion for the nineteenth consecutive month in October, latest data from the Central Bank of Nigeria (CBN) have shown.
The Purchasing Managers’ Index (PMI), a barometer of the economic health of manufacturing and services sectors, grew by 0.6 index points to 56.8 index points in October, its fastest pace this year.
According to the data released on Wednesday, of the 14 sub-sectors captured in the survey, 13 reported growth in the review month.
The sub-sectors comprise of electrical equipment; petroleum & coal products; printing & related support activities; cement; chemical & pharmaceutical products; textile, apparel, leather & footwear; and furniture & related products.
Others include transportation equipment; plastics & rubber products; food, beverage & tobacco products; fabricated metal products; nonmetallic mineral products; and paper products.
However, only the primary metal sub-sector recorded a decline in the review month.
The CBN data show that the production level index for the manufacturing sector grew for the twentieth consecutive month in October to 58.9 points from 58.4 points in September.
Similarly, the new orders index grew for the nineteenth consecutive month to 56.8 points, indicating an increase in new orders in the review month.
The manufacturing supplier delivery time index grew faster to 56.4 points, while the sector’s inventories index also grew for the nineteenth consecutive month to 56.2 points, the index grew at a faster rate when compared to its level in the previous month.
In spite of these, the employment level index, which recorded 54.8 points, grew at a weaker pace in October.
The composite PMI for the non-manufacturing sector grew at 57.0 points in October 2018, indicating expansion in the non-manufacturing PMI for the eighteenth consecutive month.
Business activity, new orders, employment, inventory in the non-manufacturing sector all grew at a slower rate, recording 58.3 points, 56.4 points, 55.7 points and 57.6 points in October as against 58.1 points, 55.8 points, 55.4 points and 56.8 points recorded in the preceding month, respectively.