Bangladesh’s economy continued its growth momentum in May 2025, with the country’s Purchasing Managers’ Index (PMI) climbing 6.0 points from April to reach 58.9, reflecting a faster pace of expansion.
The latest data was jointly released by the Metropolitan Chamber of Commerce and Industry (MCCI), Dhaka, and Policy Exchange Bangladesh (PEB), with technical support from the Singapore Institute of Purchasing & Materials Management (SIPMM) and backing from the UK Government.
This monthly PMI report—launched as a pioneering initiative to track real-time economic activity—offers critical insights into the performance of four key sectors: agriculture, manufacturing, construction, and services.
According to the May report, agriculture, manufacturing, and services sectors recorded faster expansion, while the construction sector maintained its previous month’s pace with no significant change.
Sector Highlights:
- Agriculture posted its eighth consecutive month of expansion, with stronger growth in new business, business activity, employment, and input costs. Notably, the order backlogs index returned to expansion territory.
- Manufacturing recorded its ninth straight month of growth, supported by expansion in most indicators. Although the order backlogs index still showed contraction, it did so at a slower rate compared to previous months.
- Construction, in its sixth month of expansion, showed mixed signals. While construction activity increased at a faster rate, the sector saw slower growth in input costs, and both new business and employment indexes fell into contraction. However, the order backlog rebounded.
- Services enjoyed its eighth month of continuous expansion, led by strong performances in new business and input cost indexes. Business activity and backlogs also returned to expansion, although employment growth slowed.
On future business expectations, agriculture showed growing optimism, while the manufacturing, construction, and services sectors posted slightly slower expansion rates.
“The latest PMI readings indicate that the overall Bangladesh economy grew at a faster rate, riding on export-led manufacturing buoyancy and an uptake in agriculture and its supply chain ahead of the Eid festival. The construction sector, however, remains the only area without growth in expansion,” said Masrur Reaz, Chairman & CEO of Policy Exchange.
The PMI, a globally recognized economic indicator, helps investors, businesses, and policymakers gauge the health of the economy and make informed decisions.