Indonesia’s manufacturing activity improves, but virus, weak demand pose risks

Workers sew personal protective equipment at a PT Kasih Karunia Sejati factory in Malang, East Java, on April 20. Indonesia’s manufacturing activity in August has shown signs of improvement for the first time since February. - JP

JAKARTA (The Jakarta Post/ANN): Indonesia’s manufacturing activity has shown signs of improvement for the first time since February, but risks remain as new Covid-19 clusters emerge in factories and industrial areas and as household spending remains weak.

IHS Markit’s Manufacturing Purchasing Managers’ Index (PMI) for Indonesia, a gauge of the country’s manufacturing activity, rose to 50.8 points in August from 46.9 a month before.