Sri Lanka’s manufacturing sector continues expansion in July
The Morning: Sri Lanka’s Purchasing Managers’ Index for Manufacturing (PMI – Manufacturing) recorded an index value of 59.5 in July 2024, indicating a continuous expansion in manufacturing activities.
All sub-indices contributed positively to this improvement.
Moreover, Sri Lanka Purchasing Managers’ Index for Services (PMI – Services) indicated a further expansion in services activities in July 2024, as reflected by the Business Activity Index, which reached an index value of 71.1, the highest value recorded so far this year.
OSL take:
The expansion in Sri Lanka’s manufacturing sector is indicative of the overall expansion of economic activities in the country. The country’s manufacturing and export sectors have shown a steady performance even amidst the challenging economic conditions faced by Sri Lanka in the past few years. However, the manufacturing sector is now on a growth path, which in turn indicates the growth in business/investment opportunities in the sector. Sri Lanka’s strong and further expanding trade ties with other countries as well as the Sri Lankan government’s decision to provide incentives to foreign businesses looking at investing in the manufacturing sector have all helped with the overall growth being recorded by the sector. With the country working towards becoming a regional hub, the business/investment opportunities in the manufacturing sector will also witness a further expansion. Given the growth and business potential in the manufacturing sector, foreign businesses/investors could confidently explore the expanding opportunities in the sector.