The Jakarta Post
Indonesia’s manufacturing output fell off a cliff in March as the government imposed stricter measures to contain COVID-19, a survey has showed.
IHS Markit announced on April 1 that Indonesia’s Purchasing Managers Index (PMI), the gauge for manufacturing activities, slumped to 45.3, the worst in the survey’s nine-year history. An index reading above 50 reflects an expansion, while a value below 50 indicates a contraction.
“Under stricter antivirus measures, demand weakened sharply at the end of the first quarter. New business inflows fell at the fastest rate in the series history, dragged down by a plunge in export sales,” the survey statement reads. “At the same time, factory shutdowns led to a marked drop in production, with output also falling at a survey record rate.”
The headline PMI drop was roughly indicative of the decline in gross domestic pr...