Sri Lanka’s Services And Manufacturing PMI Ease In January 2026

Sri Lanka’s economy witnessed a cooling in momentum at the start of 2026, as both services and manufacturing PMI readings declined compared to the previous month. The Central Bank of Sri Lanka reported that the services sector PMI stood at 64.5 index points in January, down from 67.9 in December 2025.  

The decline was attributed to reduced demand following the holiday season, alongside slower expansion in new business activities. Despite the moderation, the services PMI remained above the 50-point threshold, indicating continued growth, albeit at a slower pace.  

Meanwhile, the manufacturing sector PMI registered 56.1 index points in January, compared to 60.9 in December. The drop reflected weaker production volumes and new orders, influenced by supply chain adjustments and seasonal factors.  

Key highlights from the announcement include  

• Services PMI fell to 64.5 in January from 67.9 in December  
• Manufacturing PMI declined to 56.1 from 60.9 in the same period  
• Both indices remain above 50, signaling continued expansion  
• Seasonal demand slowdown and supply chain adjustments impacted activity  
• Central Bank of Sri Lanka released the PMI data  

Analysts note that while the PMI readings show moderated growth, Sri Lanka’s economy continues to expand. Sustained demand in services and manufacturing is expected to support recovery, though external pressures and domestic adjustments may influence near-term performance.  

Sources: Central Bank of Sri Lanka, Reuters, Economic Times