We are quite confident in entering the fourth quarter. The economic recovery will continue to strengthen.
Jakarta (ANTARA) - There has been a significant increase in the Purchasing Managers' Index (PMI) in the manufacturing sector after the peak of the Delta variant surge, the Fiscal Policy Agency has stated.



The PMI indicator is a good sign that the national manufacturing sector will continue to increase its production in the near future, head of the Fiscal Policy Agency (BKF) of the Ministry of Finance, Febrio Kacaribu, said.



"Along with this improvement, national manufacturing players will re-open jobs and increase their stock to meet the rising demand that is happening since the PPKM easing in several regions in September 2021," Kacaribu said in an official statement released here on Friday.


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In addition, the improvement in the PMI indicator has also supported the export indicators, especially the non-oil and non-gas sector, which has kept reaching double-digit growth, he added.



Manufacturing activity has again shown stronger signs of recovery, with the sector PMI reaching 52.2 in September 2021, higher than 43.7 in August, he elaborated. "Hence, the figure has made a record on the expansion zone," he said.



"The improvement in production activities has happened very quickly, and follows the mitigation progress of COVID-19 pandemic, which also went very fast and effectively," he added.



On the other hand, the recovery in consumption activities has been reflected in September's inflation, which has been recorded at 1.6 percent on an annual basis (yoy), he pointed out.



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The inflation showed a slight increase from 1.59 percent in August (yoy), he added.



"Apart from being glad, rapid improvements in production and consumption are a reminder that the government must continue to maintain its hard work in handling the pandemic so that COVID-19 cases can keep being controlled," Kacaribu remarked.



The effort must also be strengthened by the acceleration of vaccination, he added.



In addition, Kacaribu advised that the community keep applying health protocols and make them a part of a new culture for bolstering economic recovery.



"We are quite confident in entering the fourth quarter. The economic recovery will continue to strengthen," he added.


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Translator: Agatha V, Kenzu T
Editor: Fardah Assegaf
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