06 Jul 2021
IHS Markit have released their PMI (Purchasing Managers’ Index) report for Egypt for June 2021. The results indicate that the overall PMI score came in at its highest level since November 2020, hitting 49.9 in June 2021, up from 48.6 in May 2021.
Business conditions improved on the back of recovering and rising activity, increases in the volume of exports, and an improvement in the number of tourist arrivals. The survey showed an increase in new business for the first time in 7 months, coupled with expanding output, which led to a lower drop in employment and stable inventory levels. On the other hand, a decline in job numbers, albeit at a slower pace, held back the score from crossing the neutral mark into expansion territory. Around half of survey respondents expected an expansion during the coming 12 months based on predictions of an improvement in market conditions as Covid restrictions are ended.
The PMI is based on a survey of business managers. A positive score indicates an expansion, a negative score indicates a contraction, and a score of 50 is neutral. The direction of the monthly change gives an indication of where business conditions are headed. (Source: Reuters (English), Zawya (English) (Arabic), Arab News (English), al-Sharq al-Awsat (English), Egypt Today (English), CNBC Arabia, al-Maal, Mubasher, Arab Finance, Hapi Journal,