Economy Improved On Increased Business Activities In December – CBN

Economic recovery improved in December, according to the Central Bank of Nigeria (CBN), due to increased business. 

The CBN made this known in a report on its last Monetary Policy Committee meeting on the Purchasers Managers Index.

PMI readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration.

The CBN explained that the non-manufacturing sector however, declined marginally to 48.0 index points in December 2021 from 48.6 points in November, largely reflecting a decline in services.

It said: “Staff projections showed that the economy is expected to remain on a path of positive growth, given the impressive performance in the third quarter of 2021 and continuing rebound in economic activities.

“The committee noted with satisfaction, the significant improvement in the Manufacturing Purchasing Managers’ Index, which rose to 52.0 index points in December 2021, compared with 50.8 index points in November reflecting the continuing economic recovery.

“This expansion was driven largely by increasing business activities in the economy, leading to increase in new orders and uptrend in employment and production levels.

“The non-manufacturing, however, declined marginally to 48.0 index points in December 2021 from 48.6 points in November, largely reflecting a decline in services.”