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Conditions in Uganda’s private sector continue to improve as the latest data for the monthly Stanbic Purchasing Managers Index (Stanbic Bank PMI) showed output, new orders and employment all increasing over the month. The headline PMI rose to 50.9 in November from 50.0 in October, indicating an improvement in business conditions for the third time in the past four months, following a stable position in the previous month, however, the latest figure was still below the series average. The monthly survey is compiled by S&P Global from responses to questionnaires sent to purchasing managers in a panel of around 400…
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Increasing inflationary pressures dented private sector business activity during July as the headline Stanbic Purchasing Managers’ Index (PMI) dipped below the threshold 50.0 no-change mark for the first time this year. The PMI dropped from 50.9 recorded in June to 48.2 in July with firms scaling back their employment and purchasing activity and ending an 11-month sequence of expansion. Readings above 50.0 mean improvement in business conditions on the previous month while readings that are below 50.0 show deterioration. The Stanbic PMI is based on findings that cover agriculture, industry, construction, wholesale & retail and service sectors. It is a…
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The persistent high cost of fuel contributed to negative private sector activity in May with the Stanbic Headline Purchasing Managers Index (PMI) dropping to 51.5 from to 53.9 recorded in April—readings above 50.0 mean improvement in business conditions on the previous month while readings that are below 50.0 show deterioration. The Stanbic PMI covers the agriculture, industry, construction, wholesale & retail, and service sectors. It is a composite index, calculated as a weighted average of five individual sub-components: New Orders (30%), Output (25%), Employment (20%), Suppliers’ Delivery Times (15%) and Stocks of Purchases (10%). The Stanbic PMI is an analysis…
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Business conditions improved in the Ugandan private sector in January, buoyed by the reopening of schools following an extended period of closure due to the COVID-19 pandemic according to the latest Stanbic Bank sponsored Purchase Managers Index (PMI). Despite an increase in fuel prices, the PMI posted 54.9 in January, up from 51.5 in December and above the average for the series which began in June 2016. Output increased for the sixth month running in January, with activity boosted by the reopening of schools and higher new orders. All five surveyed broad sectors including agriculture, industry, construction, wholesale & retail…
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Uganda’s private sector recorded a third successive monthly increase in business activity during October thanks to a return to normal operating conditions and increase in new orders, but companies were not hiring more workers during this period. The headline Stanbic Purchasing Managers’ Index (PMI) rose to 54.6 in October from 52.5 in September above the threshold 50.0 reading that indicates a positive outlook. However, employment continued to fall in October as some firms were reluctant to hire additional staff amid cost pressures. Workforce numbers decreased for the fifth month running, with employee expenses also down. Ronald Muyanja, the Head of…
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