( 2 minutes read)
· The growth momentum in Mozambique’s private sector increased in June, according to the PMI indicator calculated by Standard Bank. The index reflects private-sector expectations about the economy.
· The economy is growing rapidly in terms of production, new orders and employment
· Index pegged at 52.9 is the highest since November 2015
The growth momentum in Mozambique’s private sector increased in June, according to the PMI indicator calculated by Standard Bank. The index reflects private-sector expectations about the economy. The economy is growing rapidly in terms of production, new orders and employment.
Index pegged at 52.9 is the highest since November 2015. Any figure above 50 denotes expansion of the economy, while less than 50 shows contraction. New orders increased at the fastest pace in nearly four years. It reflects the customer confidence and higher affluence culminated in a sharp rise in demand.
On the flipside the most recent data also showed a sharp rise in input prices. It was due to higher demand for raw materials and the devaluation of the metical. Production costs have therefore seen the sharpest increase in almost two years. The index is constructed by Standard Bank based on the responses of purchasing directors from a panel of about 400 private sector companies.
