Stanbic Purchasing Managers Index (PMI) reported a rise to 54.8 in December, up from 53.4 in November, marking the highest reading since June 2023. The continuous growth trend in private-sector activity was driven by increased customer numbers, resulting in higher new orders and business activity. This positive trend, which has persisted for seventeen consecutive months, indicates robust growth in the private sector.
Economist Christopher Legilisho from Stanbic Bank highlighted that the hiring trend also continued for the ninth consecutive month. Companies employed staff on both permanent and temporary bases to handle the growing orders and purchasing activity, addressing backlogs, particularly in the agriculture sector. However, the industry sector saw a reduction in employment.
The survey for December revealed that while companies expanded employment and purchasing activities, this capacity enhancement wasn’t enough to prevent the first increase in backlogs of work on record. Input costs and selling prices continued to rise during the period.
