Profitability and employment on the rise in Irish services industry
Employment and profitability remained on the rise in the services industry according to the latest Purchasing Managers Index (PMI) from Investec.
The PMI shows that employment continued three and a half year growth streak in February while profitability in the sector garnered its 43rd month of consecutive growth.
The new business index eased to a four month low, indicating that the current global downturn is beginning to impact on the sector.
New export business continued to rise sharply during February, remaining strong despite increasing at a slower pace compared to January.
As part of the PMI, panelists continued to highlight the trend of the UK as a key source of new export business.
Chief economist at Investec, Phillip O'Sullivan, said that business activity in the sector remained substantial in the month.
"There was a softening in the rate of expansion in Incoming New Business (to a four month low), with all of the segments of the services industry that are captured by this survey (TMT, Transport & Leisure, Business Services and Financial Services) reporting slightly weaker growth in new orders compared to in the previous month."