The growth was caused by higher factory output, new orders, and new exports.
The March reading of Singapore Purchasing Managers’ Index (PMI) rose 0.3 point from the previous month to record a faster expansion at 53.0. According to the Singapore Institute of Purchasing & Materials Management (SIPMM), the Singapore manufacturing PMI has recorded its 19th month of consecutive expansion.
A reading of the PMI above 50 indicates that the manufacturing economy is generally expanding. The economy is generally declining when the reading falls below 50.
SIPMM noted that the PMI expansion was mainly attributed to a faster growth in factory output, as well as higher new orders and new exports. “The new orders index of 54.9 posted the highest reading since December 2009 when the reading was 56.5. The higher PMI reading was broad-based across most manufacturing sectors, indicating the resilience of the sectors. Other indicators that recorded faster rate of expansions include inventory, finished good stocks, imports, order backlog, and supplier deliveries,” it said.
Meanwhile, the indicators that recorded slower rate of expansions are input prices and employment.
The Electronics Sector PMI also grew 0.3 point to post a faster expansion at 52.4, indicating that the electronics sector has now recorded its 20th month of consecutive expansion. “The electronics inventory index of 53.9 posted the highest reading since April 2011 when the reading was 57.4. The higher PMI reading of the electronics sector was attributed to a faster expansion in factory output, inventory, new orders and new exports,” SIPMM added.
It also said there was growth in finished goods, imports, and supplier deliveries. Meanwhile, both employment and input prices recorded slower growth rates, whereas order backlog moderated.
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