Uganda’s Purchasing Managers’ Index (PMI) fell further in July to 34.6 from 34.9 recorded in June and 56.5 registered in May, according to a new bank report on Tuesday.
The new reading in the monthly report issued by Stanbic Bank Uganda signaled deterioration of the country’s business conditions due to COVID-19 lockdown measures.
This is the second successive decline in business conditions since the lockdown was enforced from June 18 up to July 30.
The threshold of 50 is a baseline to indicate an increase or decline of business conditions.
In line with falling workloads, companies also scaled back their employment and purchasing activity for the second consecutive month, the report said.
The bank report said that there is hope that business activity will rebound once the lockdown measures are lifted, supporting optimism in the 12-month outlook.