HBL Manufacturing PMI edges down to a 6-month low

Mettis Global reported that Pakistan’s manufacturing PMI slipped to 50.8 in October, from 50.9 a month earlier, marking its weakest level in six months. The index remained just above the 50-point threshold, indicating a slight expansion rather than a contraction. New domestic orders improved, but the survey showed manufacturers facing mounting cost pressures.

Input-cost inflation reached its highest point since records began in May 2024, driven largely by dearer raw materials, including fuel and fabrics. Firms raised selling prices at their quickest pace since April, while export demand weakened after six months of growth and employment also declined. HBL’s research head said confidence had eased, and noted that the SBP’s 50bps increase to 12.0% reflects concern over inflation alongside economic activity.