Bangladesh's PMI rises to 55.7 in Oct; trend positive in major sectors

08 Nov '24

1 min read

Bangladesh's PMI rises to 55.7 in Oct; trend positive in major sectors

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Bangladesh's PMI rose to 55.7 in October—a 6-point increase from the previous month, a report by the Metropolitan Chamber of Commerce and Industry said.
This indicates a shift back to expansion after three months of contraction in a row.
In manufacturing, new orders, factory output and input purchases grew despite contractions in employment, supplier deliveries and order backlogs.

Bangladesh's purchasing managers' index (PMI) increased to 55.7 in October this year—a 6-point increase from the previous month, according to a report by the Metropolitan Chamber of Commerce and Industry (MCCI).

This indicates a shift back to expansion after three months of contraction in a row. The PMI value suggests a strengthening economic outlook, with all major sectors, including agriculture, construction, manufacturing and services, posting positive trends.

In manufacturing, new orders, factory output and input purchases grew despite contractions in employment, supplier deliveries and order backlogs.

Input costs rose swiftly, reflecting rising expenses across sectors, domestic media outlets reported citing the MCCI document.

Bangladesh continues to grapple with domestic challenges such as frequent protests, sluggish improvements in law and order, as well a slowdown in public administration, despite experiencing an expansion in all key sectors of the economy in October, and this may temper near-term gains, the MCCI report noted.

All sectors reported slower expansion rates in future business expectations, reflecting cautious optimism amid continued challenges.

Fibre2Fashion News Desk (DS)

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