IHS Markit forecasts that Indonesian economy will expand by 4.9% in 2022. (photo: medcom.id)
IHS Markit forecasts that Indonesian economy will expand by 4.9% in 2022. (photo: medcom.id)

Indonesia's Manufacturing Sector Continues to Expand: IHS Markit

Wahyu Dwi Anggoro • 02 February 2022 13:33
Jakarta: Indonesia’s manufacturing sector continued to expand at a solid rate in January 2022, according to the latest IHS Markit PMI™ data. 
 
The IHS Markit Indonesia Manufacturing Purchasing Managers’ Index™ (PMI™) posted 53.7 in January, up from 53.5 in December 2021. 
 
This represented a fifth straight month of improving business conditions across the Indonesian manufacturing sector, with the rate of improvement the strongest since last November.

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"Operating conditions in the Indonesian manufacturing sector improved at the start of 2022, according to the latest IHS Markit Indonesian Manufacturing PMI. Client demand expanded at a sharper rate, supported by record growth of new orders from abroad. Meanwhile higher employment levels and purchasing activity were also seen, altogether reflecting better economic conditions," IHS Markit Economics Associate Director Jingyi Pan said in a press release on Wednesday.
 
“Suppliers’ delivery times notably improved following a two-year streak of deterioration, which was also a positive sign. It will be important to observe if things continue to take a turn for the better, as price pressures remain steep due to lingering supply issues," the economist added.
 
Overall business confidence eased in January, but firms remained positive about the 12-month outlook for production. 
 
IHS Markit forecasts that Indonesian economy will expand by 4.9% in 2022.

 
(WAH)
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