MANILA – The S&P Global Philippines Manufacturing Purchasing Managers’ Index (PMI) reported on Thursday that the condition of the sector further improved in April 2024.
The country’s manufacturing PMI, a gauge of the sector’s performance, increased to 52.2 in April from a modest score of 50.2 in March this year.
Indices above 50 mean improved condition, while below neutral score indicate deterioration.
"Building on growth seen in the first quarter of the year, the Filipino manufacturing sector showcased further gains in April. A quicker rate of expansion was observed for new orders, which in turn triggered a renewed and solid rise in production. Additionally, business from overseas markets also expanded at a stronger rate,” S&P Global Market Intelligence economist Maryam Baluch said.
S&P Global noted that growth in new orders in April was the fastest rate since November 2023.
Likewise, export conditions continued to improve in April, with orders from foreign markets rising since February this year and at the quickest pace in five months.
“With production requirements rising, hiring and purchasing activity remained in growth territory. Moreover, stock building became more widespread in anticipation of greater future output,” Baluch added.
The S&P Global economist also said that inflationary pressures remained subdued in April, which is expected to support growth in the coming months as manufacturers were able to price their output more competitively.
Meanwhile, business sentiment for the next 12 months in April was largely positive. (PNA)
