CBN reports decline in industry sector activity for August

Nigeria’s industrial sector slipped into contraction in August 2025, with activity falling to 49.1 index points in the Central Bank of Nigeria’s (CBN) latest Purchasing Managers’ Index (PMI) report.

The CBN said the decline was driven by contractions in 10 out of 17 subsectors surveyed. Output, new orders, and employment weakened, posting 49.6, 47.2, and 48.9 points respectively. Stocks of raw materials also fell to 48.9 points.

In contrast, suppliers’ delivery time improved, rising to 52.4 index points. Among subsectors, transportation equipment recorded the highest expansion, while paper products suffered the steepest decline.

Overall, the broader economy remained in positive territory, with the composite PMI at 51.7 points, the ninth consecutive month of expansion. The services sector grew to 51.9 points, while agriculture posted 53.9 points.

According to the CBN, 22 of the 36 subsectors surveyed recorded growth. Agriculture extended its expansion streak to 13 months, while services marked its seventh month of growth.

The report also showed price pressures, with the industry sector posting the widest input-output price gap at 7.4 points compared with 3.7 points in services.

“The expansion for services and agriculture sectors underpins a favourable outlook in the third quarter of the year (Q3’25),” the CBN said.