FINANCIAL CHRONICLE – The manufacturing industry in Sri Lanka experienced a downturn in April, with the Purchasing Managers Index (PMI) falling to 42.6, a significant drop from 66.7 in March, as reported by the central bank.

The Central Bank of Sri Lanka (CBSL) noted that the decline in various sub-indices when compared to the seasonal peak observed in March resulted in an overall decrease in the PMI.

One of the primary factors for the reduction in the New Orders sub-index was the waning festive demand, especially within the food and beverage as well as textiles and apparel sectors.

Additionally, the Production sub-index also saw a decrease, which CBSL attributed to a reduction in working days during April, as numerous manufacturing facilities were closed for the holiday season.

The Employment sub-index fell as manufacturers reduced their temporary workforce in response to the conclusion of seasonal labor needs.

Furthermore, the time taken for supplier deliveries increased due to disruptions related to the festive season and ongoing logistical challenges caused by conflicts in the West Asia region. (Colombo/May18/2026)