2025.05.1616:46:04UTC+00Sri Lanka Manufacturing PMI Drops to Two-Year Low

Sri Lanka's Manufacturing Purchasing Managers' Index (PMI) experienced a significant decrease to 40.1 in April 2025, down from 63.9 in March. This marks the lowest level in two years, aligning with the typical seasonal contraction. The decline can be attributed mainly to a sharp drop in production, which fell substantially from 70.2 in March to 30 due to a reduced number of working days. There was also a notable contraction in new orders, which slid to 36.5 from 71.2, as demand simmered down post-festive season, particularly impacting the food and beverage industry. Reflecting these declines, the stock of purchases decreased to 41 from 62, while employment saw a reduction to 44.9 from 51.9 as manufacturers cut back on temporary staff following the seasonal production period. At the same time, the delivery time from suppliers extended further to 57, up from 56.3, largely due to supply chain disruptions associated with the festive season.