Purchasing Managers’ Indices indicate expansions in both Manufacturing and Services activities in November 2025

Sri Lanka Purchasing Managers’ Index for Manufacturing  (PMI – Manufacturing) recorded an index value of 55.5 in November 2025. This indicates an expansion in manufacturing activities on a month-on-month basis, with favourable contributions from all the sub-indices.

The expansion in New Orders was primarily driven by increased activity in the food and beverages, and textiles and apparel manufacturing sectors. Meanwhile, Production remained at a neutral level, reflecting broadly unchanged output relative to the previous month. In addition, Employment and Stocks of Purchases recorded month-on-month increases, consistent with the observed improvements in New Orders and Production. Meanwhile, Suppliers’ Delivery Time remained lengthened in November relative to the previous month, reflecting  the continued demand for inputs.

Despite recent adverse weather conditions, the manufacturing outlook for the next three months remains positive, owing largely to anticipated seasonal demand.

Sri Lanka Purchasing Managers’ Index for Services (PMI – Services) recorded an index value of 50.5 in November 2025, indicating a slower expansion in services activities compared to the previous month.

Business activities expanded at a slower pace in November 2025, partly reflecting the impact of adverse weather conditions experienced toward the end of the month. The accommodation, food, and beverage services were the primary drivers of expansion. Additionally, financial services continued to strengthen, amidst increased lending, thereby contributing to the overall increase.

New Businesses increased in November 2025, underpinned by increased demand for financial services and improved activity in wholesale and retail trade.

Employment continued to expand in November 2025, as firms increased hiring to meet seasonal operational needs. Backlogs of Work increased reversing a three-month period of continuous decline.

The Expectations for Business Activities over the next quarter continued to improve, though the pace of strengthening has moderated. Some respondents expressed concerns regarding disruptions to consumer demand caused by adverse weather conditions. Nevertheless, relatively favourable macroeconomic conditions and an expected increase in festive demand supported business expectations.

Source: adaderana