The Emirates NBD Egypt PMI declined for the fifth month in a row in January 2019 to reach the lowest level since December 2017, yet above the series average, Invest-Gate reports.

The index dropped from 49.6 in December 2018 to 48.5 in January 2019, reversing two previous months of gradual improvements, according to a statement released by Emirates NBD on February 5.

“Egypt’s recovery over the past two years has so far largely been driven by external rebalancing and public investment, while the private sector has remained under pressure, in part as a result of the ongoing reforms,” Daniel Richards, MENA economist at Emirates NBD, was quoted as saying.

Egyptian businesses lowered down output moderately in January, reflecting a decrease in overall and foreign new orders, according to the release.

Meanwhile, firms expanded their purchasing activity at a solid rate, with the respective index climbing to a 12-month high. On the price front, input price inflation moderated to a record low for the series, due to the falling oil and raw material prices.

The Emirates NBD Egypt Purchasing Managers’ Index (PMI) is a composite indicator designed to give an accurate overview of operating conditions in the non-oil private sector economy.