Bangladesh’s economy maintained its positive growth momentum in September, with the country’s Purchasing Managers’ Index (PMI) climbing to 59.1, up 0.8 points from August, indicating a faster rate of expansion across key sectors.
The Bangladesh PMI September Report was jointly released by the Metropolitan Chamber of Commerce and Industry (MCCI), Dhaka and Policy Exchange Bangladesh (PEB), with the technical support of the Singapore Institute of Purchasing & Materials Management (SIPMM) and assistance from the UK Government. The PMI is a pioneering initiative designed to provide timely and accurate insights into the country’s economic health, helping businesses, investors, and policymakers make informed decisions.
In September, all four major sectors—agriculture, manufacturing, construction, and services—posted expansion readings, reflecting broad-based economic resilience.
The manufacturing sector recorded its 13th consecutive month of expansion, with faster growth in new orders, exports, factory output, and input purchases. Employment in the sector also improved, reverting to an expansion reading after several months of contraction.
The agriculture sector rebounded into expansion territory, supported by increased business activity and new orders. Better weather conditions and reduced input costs contributed to this turnaround.
The construction sector also returned to expansion after four months of contraction. Growth was noted in new business, construction activity, and employment, suggesting renewed momentum in infrastructure and housing projects.
The services sector marked its 12th straight month of expansion, though at a slower pace compared to August. Expansion was seen in new business and employment, while high inflationary pressures continued to affect overall momentum.
The future business index reflected optimism, with faster expansion rates expected in manufacturing, construction, and services. However, the agriculture sector showed signs of a slower expansion pace in the coming months.
Commenting on the findings, Dr. M. Masrur Reaz, Chairman and CEO of Policy Exchange Bangladesh, said: “The latest PMI readings indicate that the overall Bangladesh economy continued to expand at a slightly faster rate in September. Agriculture and construction sectors reverted to expansion after improvements in weather conditions and the gradual rollout of the new fiscal year budget. Meanwhile, the service sector posted a slower expansion reading, possibly due to persistent inflation, which remains the highest in South Asia.”
The steady upward trend in the PMI signals sustained business confidence and suggests continued growth momentum as Bangladesh navigates its economic recovery amid global challenges.
