Activity in the Irish services sector declined in August for the second time in 16 months, a survey published today showed.
The NCB purchasing managers' services index for August, compiled by Dublin-based NCB Stockbrokers, recorded a figure of 49.1, only the second time it has fallen below the 50.0 no change level since the survey began in May 2000.
The services PMI has dipped slightly below the 50 mark for the second time in its short history, said NCB chief economist Mr Dermot O'Brien.
Generally speaking, the weakness is concentrated in two sectors - in technology, reflecting the global situation, and in tourism, probably reflecting lingering foot-and-mouth disease restrictions.
The last time the index registered a decline was in April, when the foot-and-mouth crisis was at its peak.
The survey said employment in the services sector continued to rise, albeit at its slowest rate since the survey began, and optimism in the services sector remained high.