The results of the Palestinian Monetary Authority’s Business Cycle Index (PMABCI) revealed a remarkable improvement in the overall index, from -0.4 in March to 11.8 points in April, after an increase in both the West Bank and the Gaza Strip, today said a PMA press release.
These developments are attributed to the religious occasions (Ramadan) and their impact on the recovery of markets and enhancing demand, it said.
The overall index in the West Bank increased from 5.8 points in March to 17.7 points in April. This improvement was led by the significant increase in the manufacturing index (from 2.5 to 6.1), followed by the rise in the trade index (from -4.1 to -1.0), and the construction index (from 1.2 to 4.3).
In addition, the IT and communication index increased from 0.3 to 1.1, and the renewable energy index from 0.5 to 1.0. In the meanwhile, the agricultural index remained relatively stable at around 4.0 points, the transportation and storage index at around 2.3 points, with a positive trend in both indices.
At the same time, the overall index in the Gaza Strip increased from -32.6 points in March to -18.6 points in April, influenced by the rise in higher-weight sub-indices.
This improvement is headed by a significant increase in the trade index (from -15.4 to -3.3), followed by the increase in both the renewable energy index and manufacturing index, (from -1.6 to 1.1) and (from -5.8 to -3.2) respectively. In addition, the transportation and storage index improved from -1.5 to 0.0.
On the contrary, the agricultural index declined from 0.0 to -3.6, and the construction index fell from -8.2 to -9.1). In the meantime, the IT and communication index stabilized at around -0.3 points.
In general, firms’ owners in both the West Bank and Gaza Strip indicated a rise in production level accompanied by a lesser increase in sales level, which caused accumulation in inventory level. Furthermore, they expect that both employment and production levels would enhance during the near future, affected by the positive improvement in the economic activities.
Source: Palestinian News & Info Agency (WAFA)