Sri Lanka’s PMI for July expands on new orders and production

The Central Bank of Sri Lanka’s (CBSL) purchasing manager’s report for July 2024 has shown that the manufacturing index expanded to 59.5 from 56.6 in the month of June this year.

The CBSL said that all the sub-indices expanded on a month-on-month basis contributing to this increase.

The report indicated that the increase in New Orders and Production was mainly attributable to the manufacture of food and beverage and textile & apparel sectors.

Meanwhile, employment has turned positive in July 2024 while the Stock of Purchases also expanded in line with the increased demand for materials, as per the CBSL report.

The services Purchasing Manager’s Index (PMI) indicated a further expansion in service activities in July 2024 as reflected by the Business Activity Index, which recorded an index value of 71.1, the highest value recorded so far this year.

The continued expansion in business activities was driven by the improvements observed in the freight and aviation sectors, while new businesses increased in July, particularly with the upsurges observed in financial and transportation services.

However, the CBSL report also highlighted that employment in services declined in July despite a few new recruitments.