Philippines PMI falls to record low in March

Philippine manufacturing activity plunged to a record low in March due to the lockdown imposed to curb the spread of COVID-19.

The Philippines Manufacturing Purchasing Managers’ Index (PMI) dropped to 39.7, marking its first decline below the neutral mark since data collection began in January 2016.

This sharp decline indicates a significant deterioration in operating conditions and reflects contractions in output, new orders, employment, and inventory levels.

The lockdown of Luzon led many manufacturers to halt operations, causing unprecedented drops across various manufacturing metrics.

IHS Markit noted that businesses are less optimistic about their future operations amid the uncertainties brought by the pandemic.