- Nigeria’s Factory Production Surges in June
The Nigerian manufacturing sector expanded for the third consecutive month in June.
The Purchasing Managers’ Index (PMI) which measures the activities of the manufacturing sector increased to 52.9 in June, according to the Central Bank of Nigeria’s report. Up 0.3 points from 52.6 recorded in May. Readings above 50 indicate expansion and vice versa.
According to the report, 12 of the 16 subsectors recorded growth in June in the following order: Computer and electronic products; paper products; plastics and rubber products.
Others included primary metal, transportation equipment, petroleum and coal products, appliances & components, textile, apparel, leather and footwear, furniture and related products.
Also, electrical equipment, food, beverage and tobacco products and fabricated metal products made the list.
While the remaining four subsectors that declined were nonmetallic mineral products, cement, chemical and pharmaceutical products and printing and related support activities.
“The surge in economic activities in the manufacturing sector and improving consumer prices should boost consumer spending but the weak wage growth and high unemployment rate of 14.2 percent will continue to hurt progress,” said Samed Olukoya, a foreign exchange research analyst at Investors King Ltd.