Source: Instituto de Estadísticas de Puerto Rico.
Starting in May 2010, the PRM‐PMI measures short‐run business conditions in Puerto Rico’s manufacturing sector, and provides a broad‐based metric for the productive side of Puerto Rico’s economy. The participants include manufacturing establishments with 50 or more employees with membership in the Puerto Rico Manufacturers Association. Currently, results are presented on a Non-Seasonally Adjusted (NSA) basis. In the future, with sufficient data points, a seasonally adjusted version of the PRM‐PMI will be prepared, which will smooth away the influence of seasonal fluctuations. The PRM-PMI is calculated as the simple average of 5 sub‐indexes, representing different business conditions in manufacturing establishments: New Orders PMI, Production PMI, Employment PMI, Supplier Deliveries PMI, Own Inventories PMI. The sub‐indexes are computed using a diffusion index methodology. In specific, for any given month with respect to the previous month, participants are asked to answer whether the business condition of the establishment: (1) improved, (2) remained the same, or (3) deteriorated. Diffusion indexes are calculated as the percentage of responses that indicate the business condition improved plus half of the percentage of responses that indicate the business condition remained the same.
Note: NSA = Not Seasonally Adjusted. A value above 50 suggests that the business condition has improved from the previous month.