Iran’s new PMI data for the fiscal month of Azar (November 23 – December 21), released by the country’s Chamber of Commerce, declined for a third consecutive month to fall below the threshold (below 50).
The new PMI reading (49.88) is the lowest in the past 11 months except for the calendar month of Farvardin when the economic indexes tend to decrease due to two-week New Year holidays.
The survey suggests that the country’s economic activities have significantly weakened in this calendar month.
The findings indicate that the businesses are still facing a severe shortages of liquidity, which combined with lack of currency allocation and the difficulty in supplying raw materials, has caused the closure of production lines in some companies.
The Statistics and Economic Analysis Center of Iran Chamber of Commerce, Industries, Mines and Agriculture, the sponsor and coordinator of the survey, announces the whole economy PMI data in a report every month.
The headline PMI is a number from 0 to 100, such that over 50 shows an expansion of the economy when compared with the previous month. A PMI reading under 50 indicates contraction and a reading of 50 implies no change.
PMI is an index of the prevailing direction of economic trends, aiming to provide information about business conditions to company directors, analysts and purchasing managers.
Click on the image for better view
The “business activities” (48.83) sub-index has declined from 51.43 reported last month to register its lowest in the past eleven months except for the calendar month of Farvardin.
The “new orders” sub-index (47.06) has also decreased for a second consecutive month. However, its decline occurred with a lower slope in comparison to that of the preceding month.
The “exports of goods and services” sub-index fell for a sixth consecutive month to settle at 43.91 in this month. The figure is the lowest in 29 months except for each year’s calendar month of Farvardin.
The “sales of goods and services” (48.50) was another sub-index to decline in this month. It dipped for a second consecutive month to register its lowest in five months.
The “raw material inventory” sub-index (48.64) has also posted a fall in comparison to 52.19 reported last month.
|
INDEX
|
Mehr1402 (Sep-Oct2023)
|
Aban1402 (Oct-Nov2023)
|
Azar1402 (Nov-Dec2023)
|
|
PMI
|
54.15
|
50.96
|
49.88
|
|
business activities
|
58.60
|
51.43
|
48.83
|
|
new orders
|
53.38
|
46.89
|
47.06
|
|
suppliers’ delivery time
|
59.10
|
55.56
|
57.05
|
|
raw material inventory
|
47.10
|
52.19
|
48.64
|
|
employment
|
49.56
|
52.39
|
50.65
|
|
raw materials price
|
72.25
|
66.91
|
67.45
|
|
finished goods inventory
|
54.09
|
52.90
|
49.54
|
|
exports of goods and services
|
49.00
|
49.81
|
43.91
|
|
price of goods and services
|
59.96
|
51.11
|
60.06
|
|
consumption of energy carriers
|
58.25
|
61.31
|
60.14
|
|
sales of goods and services
|
53.47
|
49.22
|
48.50
|
|
expectations for next month economic activities
|
65.78
|
56.01
|
58.23
|