Malaysia manufacturing PMI expanded 52.8pc in December, downside risks of Covid-19 new variant remains, says Kenanga

KUALA LUMPUR: Malaysia’s manufacturing Purchasing Managers’ Index (PMI) expanded slightly to 52.8 in December compared to 52.3 in November last year, its highest level since April 2021.

Kenanga Investment Bank Bhd said this reflects a continued recovery in the manufacturing conditions in line with the relaxation of Covid-19 restrictions amid rapid progress of vaccination rate.

New orders rose to an eight-month high, underpinned by stronger consumer confidence which boosted demand in both domestic and international markets.

Kenanga said the optimism was driven by hopes that the Covid-19 pandemic would recede and induce broad recovery in supply chains and the overall economy.

Meanwhile, Kenanga noted that the employment level fell due to the lack of foreign worker permits due to ongoing international border restrictions. Read more