Ramallah-Finance and Business News- The results of the "PMA Business Cycle Index" showed a slight improvement after a series of successive declines, as the overall index for Palestine recorded -13.7 points for the month of December, compared to -14.7 points in November, driven by an improvement in the Gaza Strip without West Bank, which is still in decline.
The overall index in the West Bank decreased from -1.3 in November to -2.2 in December, affected by the uncertainty in addition to the rise in shipping costs and raw materials prices.
The agriculture index saw the largest decline (from 5.8 to 4.0), then the industry index (from 1.1 to 0.2) and the construction index (from -0.1 to -0.6). On the other hand, both the transport and storage index (from -0.7 to 0.6) and the trade index (from -7.5 to -6.8) improved.
While the renewable energy index and the information and communication technology index settled at about 0.0 and 0.4, respectively.
In general, the owners of the surveyed establishments in the West Bank indicated a decline in the level of production more than in sales (the current volume of orders), which led to a decrease in the cumulative inventory volume.
Despite the current uncertainty, expectations remained positive about production and employment levels over the next three months.
As for the Gaza Strip, the overall index improved from -47.5 in November to -42.0 in December, but this fragile improvement is still dependent on the existing reality, as some indicators improved while others declined.
In more detail, the agriculture index rose (from -5.9 to -1.5), along with the trade index (from -33.6 to -29.9). While the industry index declined (from -5.0 to -7.5) due to import impediments, and the failure to return to work at full production capacity so far due to the damage to the sector, and at a slower pace, the transport and storage index declined (from -0.5 to -0.9). While the renewable energy index was relatively stable at -0.1, the construction index at -1.8, and the communications and information technology index at -0.3.
In general, the owners of the surveyed establishments in the Gaza Strip reported a reflection of the improvement on the level of sales and more on the level of production, which resulted in an increase in the cumulative inventory volume.
Expectations were also positive over the next three months in terms of production and employment.
