Greek PMI plunged to 39.1 points in August‏

Gazzetta team 1 Σεπτεμβρίου 2015 - 13:48

Greece's Purchasing Managers' Index (PMI) fell to 39.1 points in August to one of the lowest levels ever recorded, reflecting a sharp deterioration of business conditions in the manufacturing sector in the country, Markit said on Tuesday.

Markit said that lack of new orders and further sharp decline in production were the basic factors for the August plunge of the PMI. Manufacturing production fell for the eighth successive month in August, significantly down from July as some panel members noted a lack of demand in the market, attributing this development to the imposition of capital controls on bank transactions.

Employment levels fell for the fifth successive month in August, although at a slightly slower pace compared with July, while pending work fell in the month.

Inflow cost rose in August as a result of capital controls, but outflow prices fell again, continuing a trend which began in March 2011. Delivery times extended further in August, while Greek manufacturers recorded a further decline in inventories in the month.

The PMI measures business activity in the manufacturing sector. Readings above 50 indicate a growing sector while readings below 50 a shrinking sector.