Business output in the country increased at a slower rate in June compared to the previous month, scoring 63.9 out of 100 points on the country’s first PMI index, which was introduced earlier this year.
According to a news release issued by Policy Exchange Bangladesh, the PMI statistic for June fell by 6.2 points from 70.1 in May. According to the report, the country’s businesses have not lost money in four months straight since March.
On a 100-point PMI index, anything less than 50 implies a decrease in company output, while anything over shows expansion.
In June, all four pillars of the PMI index, namely agriculture, manufacturing, construction, and services, showed slower growth than in May.
The first data from the country’s inaugural PMI index was released on 9th May for April.
The Metropolitan Chamber of Commerce and Industry, Dhaka (MCCI) and private research group Policy Exchange Bangladesh created the index this year, with funding from the UK government and the Singapore Institute of Purchasing and Materials Management.
According to the Metropolitan Chamber of Commerce and Industry (MCCI), Bangladesh’s manufacturing sector expanded at a significantly slower rate in June, from 76.3 per cent in May to 61.7 per cent. This slowdown impacted numerous significant indexes, indicating a broader pattern of slowing growth in the sector.
The manufacturing sector’s decline was noticeable across multiple indicators. New orders, exports, manufacturing output, input purchases, employment, and supplier deliveries all showed slower growth rates. This suggests a general slowdown in the sector’s overall activity.