Colombia Manufacturing PMI

Last Release

Jul 31, 2024

Actual

Units In

Points

49.8

Frequency

Monthly

Next Release

Nov 01, 2024

Time to Release

N/A

Highest	Lowest	Average	Date Range	Source
55.7 Jun 2022	27.6 Apr 2020	50.59 Points	2015-2024	Markit Economics

The Colombia Manufacturing PMI is based on data compiled from replies to questionnaires sent to purchasing managers in a panel of around 350 manufacturers. The panel is stratified by detailed sector and company workforce size, based on contributions to GDP. Survey responses are collected mid-month and denote the direction of change compared with the previous month. A diffusion index is calculated for each survey indicator. The index is the sum of the percentage of ‘higher’ responses and half the percentage of ‘unchanged’ responses. The indices vary between 0 and 100, with a reading above 50 indicating an overall increase and below 50 an overall decrease. The diffusion indices are then seasonally adjusted using an in-house method developed by IHS Markit. The Purchasing Managers’ Index (PMI) is a weighted average of the following five diffusion indices: New Orders (30%), Output (25%), Employment (20%), Suppliers’ Delivery Times (15%) and Stocks of Purchases (10%). For the PMI calculation the Suppliers’ Delivery Times Index is inverted so that it moves in a comparable direction to the other indices.

Latest Updates

The Davivienda Colombia Manufacturing PMI picked up to 52.3 in October 2024 from 48.1 in September, pointing to a renewed expansion in the country's factory activity after two straight months of declines. It was also the best reading since January this year, as companies scaled up production volumes and increased purchasing activity in response to a significant rise in new orders. Meanwhile, employment decreased further, but the latest fall was fractional and the slowest in the current four-month sequence of contraction. On the price front, cost pressures receded to their weakest since July but selling prices were raised to the greatest extent in nearly a year-and-a-half. Lastly, business optimism rose to an eight-month high, driven by pending contract authorizations, product diversification, increased investment, and expectations of improved economic conditions.