Nigeria’s private sector continued its impressive run of growth in October, marking the 11th straight month of expansion as business activities strengthened across key industries. The latest Purchasing Managers’ Index (PMI) report showed a rise to 55.4 points, signalling improved operating conditions and renewed business confidence despite persistent economic pressures.
According to the report, firms recorded higher output and new orders as consumer demand rebounded and suppliers ramped up deliveries. Business owners say the gradual easing of supply chain bottlenecks and better access to raw materials supported a smoother flow of operations during the month.
Employment levels also saw a modest uptick, with companies hiring to meet rising demand and prepare for the year-end business cycle. Analysts note that sustained job creation is a positive indicator for household spending, which has been weakened by inflation and reduced purchasing power.
However, businesses continue to navigate rising operational costs driven by foreign exchange volatility and higher transportation expenses. Many firms reported adjusting prices to stay afloat, though they remain hopeful that ongoing government reforms will stabilize market conditions in the coming months.
Despite lingering challenges, the private sector remains a key driver of Nigeria’s economic resilience. With the PMI staying well above the 50-point growth threshold, experts believe the trend could strengthen further as the festive season approaches and investment activity picks up.
source: punch