Sri Lanka’s Purchasing Managers’ Index (PMI) for December 2024 reflected strong growth in both the manufacturing and services sectors, according to the Central Bank of Sri Lanka (CBSL).
The Manufacturing PMI climbed to 57.2 in December, up from 53.3 in November, driven by increased production orders during the festive season, particularly in the food and beverage sector. However, new orders and production in the textile and apparel sectors declined due to reduced demand from key garment export destinations during the winter holidays. Despite this, the CBSL expressed optimism, noting that expectations for manufacturing activities over the next three months remain positive due to improving economic conditions.
The Services PMI surged to 71.1 in December from 60.5 in the previous month, reflecting robust expansion. This growth was fueled by significant increases in business activities across most sectors, including wholesale and retail trade, which benefited from festive and peak tourist season demand. Additionally, financial services saw substantial improvement, with increased lending activity contributing to sector growth.
The CBSL projected continued positive momentum in the services sector over the coming months, albeit at a moderated pace, supported by favorable macroeconomic conditions.
