[ad_1]
MANILA – The country’s manufacturing sector was approaching stable conditions in November, the IHS Markit Philippines Manufacturing Purchasing Managers Index (PMI) survey reported on Tuesday.
The national manufacturing PMI improved last month to 49.9 from a score of 48.5 in October.
Indexes above 50 show an increase in activities in the manufacturing sector and those below 50 reflect a deterioration.
“The Philippine manufacturing sector showed promising signs of renewed recovery momentum in November as the main PMI figure approached stabilization. Production increased for the first time since June as external demand improved remarkably since October, ”said IHS Markit economist Shreeya Praya.
The report added that production volumes increased in the middle of the last quarter of the year.
Companies surveyed attributed this improvement in production to reopening businesses and a smoother reduction in new orders.
The IHS Markit survey also highlighted that November job losses are slowing at the slowest pace in nine months.
“It is encouraging that companies posted (the) slowest decline in employment in the current sequence of nine months of decline despite a sharp decline in backlogs,” Praya added.
Meanwhile, recent developments on vaccines against coronavirus disease 2019 (Covid-19) raised hope among Philippine-based manufacturers, as their business outlook for the next 12 months remained positive.
“However, the road to recovery may not be easy. The health of the sector is based on the number of Covid-19 cases and the impact the virus has on the global economy. While vaccine developments look promising, it is still unclear when the restrictions will end, ”Praya said. (PNA)
[ad_2]
