Construction PMI expands in July

The Sri Lanka Purchasing Managers’ Index for Construction (PMI–Construction) increased further in July 2024, as reflected by the total activity index, which registered a value of 62.9. 

The Central Bank said most respondents highlighted a steady increase in construction work, spearheaded by projects funded by multilateral agencies.

New orders expanded in July, reflecting a continuous availability of construction projects. 

However, employment contracted at a slower rate than in June. The Quantity of Purchases increased during the month in line with the increased activity levels. However, several survey respondents reported a short supply of bitumen, which is a key input for road construction work. 

Many respondents observed a continuation of the declining trend in prices of most construction materials during the month. 

Meanwhile, suppliers’ delivery time lengthened, yet at a slower rate in July.