The PMA Business Cycle Index (PMABCI) – June 2023 / A drop in both West Bank and Gaza Strip

The results of the PMA Business Cycle Index (PMABCI) revealed that the overall index for Palestine has declined from 15.4 points in May to 14.2 points in June, due to its decrease in both West Bank and Gaza Strip.

The overall index in West Bank decreased from 19.4 points in May to 18 points in June. Where, construction index declined (from 5.6 to 4.9), and the agriculture index decreased (from 4 to 1.8), whereas the Manufacturing index increased (from 5.9 to 6.8), and the renewable energy index (from 0.1 to 0.6). While the trade index stabilized at around 2.8 points, and the transportation and storage index at 0.8 points, in addition to the stabilization of the IT and communication index at around 0.3 points.

Firms’ owners in the West Bank indicated an increase in production, sales, and inventory levels. Furthermore, their expectations were negative about production levels for the next three months.

In Gaza Strip, the overall index declined to around -5.5 points in June, compared to -5.2 points in May. As Manufacturing index decreased (from 2.0 to -1.4), the agriculture index (from 0 to -1.2), and the construction index (from -2.9 to -3.6). On the hand, the trade index increased (from -4.8 to -3.9), transportation and storage index (from -2.3 to 1.1), in addition to an increase in the renewable energy index from (2.7 to 3.2). While the IT and communications index stabilized at around 0.2 points.

Firms’ owners in Gaza Strip indicated an increase in production, sales, and inventory levels. Their expectations were negative about production and employment levels for the next three months.