Economy declined further in April, CBN report says

A report released by the Central Bank of Nigeria, CBN, has revealed that the Nigerian economy further declined in the month of April.

According to the Purchasing Managers Index, PMI, for April, there was further decline in economic activities across the country during the month.

The report indicated that both the manufacturing and non manufacturing sectors of the economy suffered decline in the level of activities witnessed during the month.

The CBN, in the report, said production levels, new orders, employment and raw materials inventory declined in the manufacturing sector, while business activities, new orders and employment declined in the non manufacturing sector.

The report reads in part: “The Manufacturing PMI dropped to 43.7 per cent in April 2016, compared to 45.9 per cent in the preceding month. This implies that the manufacturing sector declined at a faster rate during the review period. Of the sixteen manufacturing sub-sectors, twelve recorded decline in the review month in the following order: furniture and related products; paper products; primary metal; electrical equipment; computer and electronic products; printing & related support activities; fabricated metal products; plastics & rubber products; textile, apparel, leather & footwear; petroleum & coal products; chemical & pharmaceutical products and food, beverage & tobacco products. The remaining four sub-sectors however recorded expansion in the following order: appliances & components; cement; non metallic mineral products and transportation equipment.

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“The composite PMI for the non-manufacturing sector recorded decline for the fourth consecutive month. The index dropped to 44.3 per cent from the 45.4 points registered in the preceding month. Of the eighteen non-manufacturing sub-sectors, sixteen recorded decline in the month of April in the following order: accommodation and food services; agriculture; arts, entertainment and recreation; construction; educational services; electricity, gas, steam and air conditioning supply; finance and insurance; health care and social assistance; information and communication; management of companies; professional, scientific and technical services; public administration; real estate rental and leasing; repair, maintenance/washing of motor vehicles and transportation and warehousing; utilities. The remaining two subsectors recorded growth in the review month in the order: wholesale/retail trade and water supply, sewage & waste management.

“At 42.7 per cent, the production level index for manufacturing sector declined for the fourth consecutive month, but at a faster rate than that recorded in March 2016. Of the sixteen manufacturing sub-sectors, ten recorded decline in production level during the review month in the following order: primary metal; furniture & related products; electrical equipment; paper products; plastics and rubber products; printing and related support activities; fabricated metal products; textile, apparel, leather and footwear; petroleum and coal products and chemical and pharmaceutical products. The computer electronic products and food, beverage and tobacco products sub-sectors recorded no change. The remaining four recorded growth in production level during the review month in the following order: transportation equipment; appliances & components; non-metallic mineral products and cement.

“Business Activity declined for the fourth consecutive month, standing at 44.2 points in April 2016, compared to 46.3 points in the preceding month. Fourteen out of eighteen sub-sectors record

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