Bangladesh's Purchasing Managers' Index drops 8.8 points in April, settles at 52.9

Bangladesh's overall Purchasing Managers' Index (PMI) score in April saw a decrease of 8.8 points from March to reach 52.9.

Metropolitan Chamber of Commerce and Industry (MCCI), Dhaka, and Policy Exchange Bangladesh (PEB) released the Bangladesh Purchasing Managers' Index (PMI) April report.

The PMI is a pioneering initiative that aims to offer timely and accurate insights into the country's economic health to help businesses, investors and policymakers make informed decisions. It was developed by MCCI and Policy Exchange, with support from the UK Government and technical assistance from the Singapore Institute of Purchasing & Materials Management (SIPMM).

The April reading of Bangladesh's PMI dropped by 8.8 points from March, indicating a slower expansion at 52.9.

This latest PMI reading was attributed to a slower rate of expansion in the manufacturing, construction and services sectors, whereas the agriculture sector posted a faster expansion.

The agriculture sector recorded its 7th consecutive month of expansion, with faster growth in the indexes of new business and business activity, while the input costs index showed a slower expansion.

The employment index returned to an expansion, and the order backlogs index showed a slower contraction.

The manufacturing sector posted its 8th month of expansion, though at a slower rate. Most indexes showed expansion, except the order backlogs index, which posted a faster contraction and has now seen nine straight months of decline.

The construction sector recorded its 5th consecutive month of expansion, but also at a slower pace.

The indexes for new business, employment, and input costs posted slower expansion, while the construction activity index reverted to an expansion. The order backlogs index showed a faster contraction.

The services sector marked its 7th month of expansion, though again at a slower rate. Slower growth was seen in new business, employment, and input costs, while business activity reverted to contraction. The order backlogs index posted a faster contraction.

For the future business index, faster expansion rates were recorded in the manufacturing and construction sectors, while agriculture saw a slower expansion. The services index reverted to an expansion.

"The latest PMI readings indicate continued expansion in all key sectors, but at a slower rate. The April PMI is also the lowest since October 2025, when the expansion track commenced. Long stretches of public holidays leading to business closures, early effects of the Trump tariff on apparel production, and energy supply hurdles are likely causes of the slower dynamism," said Dr M Masrur Reaz, Chairman and CEO, Policy Exchange Bangladesh.