FBNQuest, a unit of FBN Holdings Plc has released its latest headline reading of manufacturing Purchasing Managers’ Index (PMI) for Nigeria as 60.0 in December 2016 from 48.8 in November, a 23 per cent increase.

The PMI which takes the temperature of the sector has developed into a core forward indicator in the economy.

FBNQuest said the only explanation for the surge in the headline reading was the seasonal boost to household demand.
“Since Nigeria is mired in recession, the extent of the seasonal demand boost this year has come as a surprise. ‘‘Once we strip out seasonal effects, the landscape for manufacturing is little changed. Substitution is beginning to have an impact, while the CBN and stated-owned investment vehicles are providing additional credit for the sector. The FGN’s expansionary fiscal stance is also supportive in the form of accelerated capital releases. We suspect, however, that manufacturing will be one of the last sectors to benefit because of the scarcity of forex, which we expect to continue in the year. In conclusion, it may well be that the reading in January erodes the gains of this report,”the report read in part.

In Q3 2016, GDP contracted at constant basic prices by -2.2% y/y, the worst out turn since 2011 in the new national accounts. The figure was dragged down by a sabotage-driven -22.0% y/y contraction in the oil economy.

The non-oil economy was flat y/y, while manufacturing shrank by -4.4% y/y in Q3, compared with -3.4% the previous quarter.


http://leadership.ng/business/566041/nigerias-manufacturing-pmi-index-rises-by-23-in-dec-2016-fbnquest

In the first instance I thought it goodnews, but it turns out indifferent after reading!

In Q3 2016, GDP contracted at constant basic prices by -2.2% y/y, the worst out turn since 2011 in the new national accounts. The figure was dragged down by a sabotage-driven -22.0% y/y contraction in the oil economy.



Fingers crossed watching how things will unfold this year 2017.

Good caption for zombies

How much is a bottle of red oil in oyinbo?

so in other words the mean that buhari is incompetent...i must give a phork on these.

PLS BE VERY CAREFUL

Trump Is 70

Hillary Is 69

Obama Is 55

70+69+55 =194

Buhari 74

Johnathan 59

APC 3 Letters

PDP 3 Letters

Therefore 74+59+3+3=139

........................ This Does Not Mean Anything, I Just Wanted To Waste Your Time
I'm @Home... If You Like Come & Beat Me ...........

How will this affect a bottle of agbo?

Booked....

Minus everywhere..... zombies will be confused

I don't think this administration knows what to do with our economy.
it is really sad considering the fact that Buhari contested four times.

I didn't understand a thing.

Plz we need whatever achievements to translate what the common man on the street can relate to. This shouldn't be a year of paper achievements, I take God beg una

Buhari is a fool. He has no clues and his followers are even worse because they are following him blindly. Godforsaken country

Lies from the pit of hell fabricated by APC.

George Orwells' 1984

tundafayaBuhari:
Buhari is a fool. He has no clues and his followers are even worse because they are following him blindly. Godforsaken country

God has forsaken Nigeria's enemies and bless Nigeria with progress and peace.

How come? In Wailers voice!

NOETHNICITY:
How come? In Wailers voice!

Try to digest the piece bro... Everything isn't politics.

PMI increased at the expense of GDP, means PPP of the Naira keeps dwindling. (Abi nor be so economics talk am? Stand to be corrected sha)

Local manufacturing is long overdue, but we still need foreign investment. Just imagine that $80b returned to the economy!

estyvino:
In the first instance I thought it goodnews, but it turns out indifferent after reading!

On the face of it, yes; however, I am quite optimistic that the manufacturing sector will pick up because the problem of forex will be partly addressed by the new high import tariffs on luxury and locally available goods; while the said policy would simultaneously drive demand for such locally produced goods and therefore increase cashflow and profitability of the sector.
The rise in crude oil price (if sustained) may also abate ongoing forex scarcity, which would beneficial to all sectors - including manufacturing.

some people just comment....

they don't understand what the report is about......

just let me remind all of us, we may not all like the president or his party but we should constructively criticize an no wail at every opportunity if the economy is bad it affects us all rich or poor....

this PMI indicies are meant for investors and analystis and not for blind critics

Even if Buhari don't know how to make Nigeria great, he should surround himself with intelligent and able people and the credit will be his

In as much these figures may be tales, its good so as to bring about confidence with investors ..

We never hear ill about the us government or russian govt..

Although it might bite us in the near future

unclezuma:
George Orwells' 1984

So Nigeria is a farm ?

lestat:


So Nigeria is a farm ?

1984...Animal Farm is another story depicting Nigeria.

Stalwert:


God has forsaken Nigeria's enemies and bless Nigeria with progress and peace.

did you type progress? Dollar at the rate of #500, peace in the southern Kaduna, Borno state or Niger delta? my man Nig is going back

I wish I understood. I hope to wake up one day to read FG is already making a move to hurt the killing increase in food stuffs and other basic commodities that keep average Nigerian moving.

sweet

50shot:
so in other words the mean that buhari is incompetent...i must give a phork on these.

PLS BE VERY CAREFUL

Trump Is 70

Hillary Is 69

Obama Is 55

70+69+55 =194

Buhari 74

Johnathan 59

APC 3 Letters

PDP 3 Letters

Therefore 74+59+3+3=139

........................ This Does Not Mean Anything, I Just Wanted To Waste Your Time
I'm @Home... If You Like Come & Beat Me ...........

LMAO

50shot:
so in other words the mean that buhari is incompetent...i must give a phork on these.

PLS BE VERY CAREFUL

Trump Is 70

Hillary Is 69

Obama Is 55

70+69+55 =194

Buhari 74

Johnathan 59

APC 3 Letters

PDP 3 Letters

Therefore 74+59+3+3=139

........................ This Does Not Mean Anything, I Just Wanted To Waste Your Time
I'm @Home... If You Like Come & Beat Me ...........

And then it all blew to cinder.