Today sees the release of March data from the Ulster Bank PMI. The latest report pointed to strong and accelerated increases in output and new orders, with firms at their most optimistic regarding the future for almost six years. The rate of job creation also picked up. Meanwhile, sharper increases in input costs and selling prices, plus supplier delivery delays were recorded.
Commenting on the latest survey findings, Richard Ramsey, Chief Economist Northern Ireland, Ulster Bank, said:
“Northern Ireland’s private sector moved up a gear in March, with growth in output, new orders and employment all accelerating. Indeed, it was the first time in 25 months that all four sectors recorded an increase in business activity. Similarly, all four sectors posted a pick-up in new orders, for the first time in 33 months. Encouragingly, as far as new orders and employment are concerned, Northern Ireland was the top performer amongst the 12 UK regions. On a less positive note, inflationary pressures and supply chain disruption intensified in March. Higher wages and increased shipping charges were cited as factors behind rising input costs, which reached a 10-month high. The acceleration in input costs was most apparent within construction and retail, with the latter passing these on to its customers by raising prices at their fastest rate in a year. On the other hand, services was the only sector to see input cost inflation ease. The ongoing disruption in the Red Sea has contributed to rising costs and has lengthened supplier delivery times for the second month running.
“But these challenges haven’t impacted on confidence in Northern Ireland’s private sector. This is because the scale of these challenges is modest compared to what the private sector has experienced in recent years. Indeed, NI firms are the most optimistic about future output in nearly six years. All sectors still expect output to be higher in a year’s time, with manufacturing its most optimistic since the question was first asked seven years ago.”
The next PMI (April 2024) will be published on Monday 13th May.
United Wines trio celebrate a combined total of 60 years with NI drinks firm
12th Apr 2024
Read Article