Sri Lanka’s Manufacturing, Services PMIs expand in January
The Morning: Purchasing Managers’ Indices indicate expansions in both Manufacturing and Services activities in January.
Sri Lanka Purchasing Managers’ Index for Manufacturing (PMI-Manufacturing) recorded an index value of 59 in January, indicating a further expansion in manufacturing activities. All sub-indices contributed positively to this improvement.
Most of the survey participants from the manufacture of textiles and apparel sector reported favourable developments in January, driving the expansions in new orders, production, employment and stock of purchases sub-indices.
In addition, the manufacturing of food and beverages sectors continued to remain positive, even after the December festival season. Meanwhile, suppliers’ delivery time sub-index further increased in January, in line with the increase in activity levels.
OSL take:
The positive expansion recorded by Sri Lanka’s PMI-Manufacturing is indicative of the overall economic expansion currently experienced by the country. Sri Lanka’s manufacturing sectors, while recording a steady growth in the past few years, also managed to show great resilience even during the economic crisis faced by the country in 2022. The many trade agreements as well as trade concessions enjoyed by the country with many foreign countries, Sri Lanka’s geographical positioning in the Indian Ocean and the continuously improving ease of doing business environment in the country have all helped boost the country’s positioning as an emerging business destination in the South Asian region. All these developments have resulted in the expansion of business/investment opportunities in Sri Lanka’s manufacturing sector. These expansions are for both the local and international markets that are on a constant growth path. Given the overall expansion in Sri Lanka’s economy with an increasing business potential and its target of becoming a regional hub, foreign businesses/investors could confidently explore the expanding opportunities in Sri Lanka. Foreign businesses could also look at forming partnerships or joint ventures with local businesses in order to expand operations locally and internationally.
| Article Code : | VBS/AT/2025025/Z_1 |