Ireland: Services PMI rises in May
The AIB Ireland Services Purchasing Managers’ Index (PMI) rose to 55.0 in May from 53.3 in April. As a result, the index moved further above the 50.0 no-change threshold, and signaled a faster improvement in services-sector business activity compared to the previous month.
The acceleration was primarily driven by a faster increase in new business growth, particularly in the technology, media and telecoms sector. Financial Services also continued to expand sharply. The overall increase in activity was further supported by the rate of job creation reaching a three-month high.
Meanwhile, cost pressures intensified due to costlier wages and fuel. Despite this, the rate of charge inflation eased to a five-month low. Lastly, business sentiment improved, reaching a three-month high, boosted by hopes of rising consumer demand amid lower interest rates.