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The index rose in February (50.7 points) for the first time in five months, also registering the highest growth since July 2023, but returned to negative territory in March (49.7 points), rising in April (49.9 points)
According to Standard Bank, which conducted the survey, the PMI index of business activity in Mozambique remained positive in September for the fifth successive month, influenced by the anticipation of new orders in light of Wednesday’s elections.
Private sector business conditions across Mozambique improved for the fifth successive month in September, according to the study released recently. The index rose in February (50.7 points) for the first time in five months, also registering the highest growth since July 2023, but returned to negative territory in March (49.7 points), rising in April (49.9 points). It has been in positive territory since May (50.9 points) but fell in September to 50.3 points, down from 50.9 points in August, albeit at its lowest point in this period, it said.
According to the September PMI, performance in this period was underpinned by a moderate rise in new order volumes during September, and Mozambican firms reported that the introduction of new services, expanded capacities and new client wins had driven sales.
Even so, slower demand growth, limited financial resources, and reduced imports weighed on private sector activity, but growth also eased” in the secondary sector, wholesale and retail trade, and the services sector, “while reductions in output were observed across agriculture and construction”.
The document emphasized as a “positive note” that the “drop in purchases” by companies “contributed to a slower increase in business expenses”, but “output expectations among Mozambican firms softened in September, being “among t the weakest recorded since early 2023.
PMI indicators above 50 points show an improvement in business conditions compared to the previous month, while indicators below this value show a deterioration.
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The Purchasing Managers Index (PMI) published monthly by Standard Bank is based on the responses of purchasing managers from a panel of around 400 private sector companies.
