PMI Emerges From Contraction

The Purchasing Managers' Index for Iran’s economy has emerged from a record low registered in the 10th month of the current Iranian year (Dec. 22, 2022-Jan. 20), new data released by the Statistics and Economic Analysis Center of Iran Chamber of Commerce, Industries, Mines and Agriculture show.

According to the data, after registering a significant boost, PMI settled at 51.35 in the 11th month of the year (Jan. 21-Feb. 19) from 41.89 registered in the previous month, indicating a 9.46-point or 22.58% increase.

PMI indicates the prevailing direction of economic trends in the manufacturing and services sectors. The headline PMI is a number from 0 to 100, such that over 50 indicates an economic expansion compared with the previous month. A PMI reading under 50 indicates contraction and a reading of 50 implies no change.

The index is indicative of the prevailing direction of a country’s economic trends, aiming to provide information about business conditions to company directors, analysts and purchasing managers.