BLOM PMI Falls to 14-Months Low in October and Points to Sharper Economic Downturn

In spite of lower cost burdens on Lebanese businesses, the BLOM Lebanon PMI fell from 48.1 in September to 47.1 in October, indicating a more pronounced setback in the private sector’s activity. The output of surveyed Lebanese businesses recorded the sharpest rate of decline since August 2014. Aside from dealing with local difficulties, Lebanese businesses were also suffering from lower new orders from abroad, which recorded their third straight monthly decline. Commenting on October’s PMI results, Marwan Mikhael, head of research at BLOMINVEST Bank, said: “There is no doubt that the political standstill and the social upheaval are heavily weighing on the business activity of the private sector. Despite a decline in raw materials prices, and the consequent reduction in output prices, companies continue to report a drop in activity. Moreover, the decline in oil prices and the instability in the region are also hurting exporters to the Gulf countries. We hope that an improvement on the domestic political front will spur consumption and help the private sector return to growth.” 

Full details about October’s results are available in the BLOM PMI reports below:

Lebanon’s PMI Oct 2015 – Full Report

Lebanon’s PMI Oct 2015 – Press Release


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