Indonesia’s manufacturing PMI rises to 54 in October
Finance Minister Suahasil Nazara said manufacturers were buying more production inputs in anticipation of stronger demand.
Indonesia’s manufacturing purchasing managers’ index (PMI) increased to 54 in October from September, Finance Minister Suahasil Nazara said after briefing President Prabowo Subianto on the sector’s performance.
Speaking after a limited meeting at the State Palace on 3 November 2026, Suahasil said the higher reading reflected businesses’ confidence that demand would rise. He described manufacturing activity as strengthening.
Suahasil said a reading above 50 indicated that manufacturers were accumulating production inputs because they anticipated greater demand. Companies were preparing to increase output by purchasing more raw materials and other supplies used in production, he said.
He linked the increase in the index to optimism among businesses about future economic activity. In his account, manufacturers were building inventories of inputs to prepare for the higher production they expected would be needed.
