BD PMI shows slower economic expansion in Nov

Business Report:

The Bangladesh Purchasing Managers’ Index (PMI) for November 2025 signaled a slower pace of economic expansion, registering 54.0, but remained in expansionary territory, according to a report released on Sunday by the Metropolitan Chamber of Commerce and Industry (MCCI), Dhaka, and Policy Exchange Bangladesh (PEB).

The latest reading reflects a moderation in growth across all key sectors, including agriculture, manufacturing, construction, and services. The PMI, developed by MCCI and PEB with support from the UK Government and technical assistance from the Singapore Institute of Purchasing and Materials Management (SIPMM), is designed to provide timely and accurate insights into the country’s economic health to help businesses, investors, and policymakers make informed decisions.

In the agriculture sector, expansion continued for the third consecutive month, though at a slower pace. While the business activity index grew faster, new business, employment, and input costs expanded at a reduced rate, and order backlogs contracted more slowly, reflecting a more measured growth environment. Manufacturing, which maintained its 15th consecutive month of expansion, saw slower overall growth despite positive trends in new orders, exports, factory output, input purchases, finished goods, employment, and supplier deliveries. The order backlogs index, however, contracted more sharply, indicating pressures on production planning.

Construction posted its third month of expansion, albeit with slowing momentum. Construction activity, employment, and input costs continued to rise, but new business turned into contraction and order backlogs fell more sharply, highlighting caution among developers amid uncertain market conditions. The services sector, in its 14th month of expansion, also moderated as employment and input costs grew, but new business, business activity, and order backlogs moved into contraction, signaling a slowdown in demand and operational activity.

Looking forward, the future business index showed optimism in agriculture, construction, and services, indicating expectations of stronger growth in the coming months. Manufacturing, however, showed slower expansion expectations, reflecting ongoing concerns over global demand and export competitiveness.

“November PMI indicates economic expansion losing steam, driven by weak global demand, low export competitiveness, waning domestic demand, and businesses withholding investments ahead of the national elections,” said Dr. M Masrur Reaz, chairman and CEO of Policy Exchange Bangladesh. Despite a yearly decline in exports, month-to-month gains and continued agricultural harvests helped sustain overall expansion.