D&B Israel: Procurement Managers Index fell 4.2% in July 2006

The fall in the index was attributed to the war in Lebanon, which slowed down domestic demand for Israeli products, and caused a sharp drop in employment and output
 
The monthly D&B Israel and Israel Purchasing and Logistics Managers Association’s Procurement Managers Index for July 2006 which was published last week indicate a drop of 4.2% to 50.1%, from 54.3% in June.
 
In a joint statement issued by D&B Israel and the Purchasing and Logistics Managers Association it was noted that the fall in the index was attributed to the war in Lebanon, which slowed down domestic demand for Israeli products, and caused a sharp drop in employment and output.
 
The statement also noted that the Procurement Managers Index will drop further in August 2006, and will indicate continued economic slow down.
 
However, according to D&B Israel, the expected continued growth in export demand should bring about a reasonable optimism about Israeli manufacturing recovery later this year.