Nigeria’s economic activities contract 13 consecutive months to 49.7 index points

CBN actThe Central Bank of Nigeria, CBN, today said economic activities in the country contracted for 13 consecutive months to 49.7 index points in July 2024.

CBN disclosed this in its Purchasing Managers Index (PMI) report for July 2024.

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The apex bank however noted that the index improved when compared to 48.8 index points recorded in June 2024.

CBN said: “In July 2024, the composite PMI stood at 49.7 points indicating contraction in economic activities
for the thirteenth consecutive month. “However, the index shows improvement compared to the 48.8 points recorded in the previous month.

“ Furthermore, Output Level, Suppliers’ Delivery Time and Stock of Inventory expanded.

“New Orders and Employment contracted at a slower rate compared to the levels recorded in the previous month.
“The sectoral breakdown shows that the Services Sector recorded expansion for the second consecutive month while the Industry and Agricultural Sectors registered slower contraction when
compared to the level recorded in the previous month.

“Within the Industry Sector, the Manufacturing, Construction and Mining & Quarrying; Electricity, Gas & Water Supply Sub-sectors all recorded contractions in the review month.

According to CBN, the July 2024 PMI survey was conducted from July 15-19, 2024, to gauge the direction of economic activities in Nigeria for the month.

It added: “The PMI is computed based on responses regarding the direction of change in different aspects of respondents’ business activities.

“An index above 50.0 points indicates an expansion in business activities while below 50.0 points indicates a contraction in business activities.