1 mar. 2012

Markit Greece Manufacturing PMI for Feb : A Disaster

Key points:
􀂃 Record falls in new orders and output signalled during February
􀂃 Working capital shortages continue to restrain economic activity
􀂃 Heavy job losses recorded
Paul Smith, Senior Economist at Markit and author of the Greece Manufacturing PM said: “Output, new orders and purchasing activity deteriorated to the greatest extent in nearly 13 years of data collection in February, amid reports of continued difficulties in accessing working capital and demands from vendors for cash payments.
“The latest survey therefore provided another stark reminder of the difficulties that the Greek economy is presently facing. Ongoing problems of accessing credit, combined with austerity measures, are undermining activity and demand, with little evidence of this situation improving anytime soon.
“While companies are trying to maintain employment via reduced working days and hours, the inevitable impact of rapid declines in output and sales are further cuts to payroll numbers, which fell at a marked and accelerated pace in February.”