# South Africa’s manufacturing sector stayed in growth territory in May but showed signs of slowing. The Absa Purchasing Managers’ Index fell to 51 points from 53 points in April, as production and new orders weakened after a temporary boost in demand faded. Inventories increased to their highest level in more than two years, while cost pressures remained high despite a small drop in prices. Employment improved slightly but is still weak. However, businesses are more optimistic about conditions later in the year.
Absa purchasing managers’ index signals slower factory activity in May