Sri Lanka’s Central Bank records higher rate of activities in manufacturing and services sectors
The Central Bank of Sri Lanka has reportedly noted in its Purchasing Managers Index (PMI) a higher rate of activities in the Manufacturing and Services sectors in January this year when compared to December 2018.
According to reports, this was mainly driven by the expansion in employment and production, especially in manufacturing of textiles, wearing apparels, leather and related activities.
A significant improvement in employment was experienced with the recruitment of new employees to fill the vacancies, reports state.
Accordingly, the production also increased with the enhanced level of employment as well as the orders carried forward from the previous month.
Meanwhile, all sub-indices of PMI Manufacturing has reportedly recorded values above the neutral 50 threshold, signalling an overall expansion in manufacturing activities in January at a higher pace compared to December 2018.
The Central Bank has further stated that the Services sector growth accelerated in January, underpinned by a strong upturn in Employment, New Businesses and Expectations for Activities.
Expectations for Activities also expanded as service providers expect that the new Budget would provide some stimulus to the local economy, reports have added.
OSL take:
The recording of higher activities in the manufacturing and purchasing sectors in January this year by the Central Bank of Sri Lanka is yet another indication of the positive overall growth of Sri Lanka’s economy. All these are indications of an economy on the right path towards growth. Therefore, foreign businesses/investors should feel confident to engage in business with Sri Lanka.
| Article Code : | VBS/AT/20022019/Z_2 |