Indonesia's Manufacturing Sector Expands At Slower Pace

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Indonesia's manufacturing sector expanded at a slower pace in March, survey data from IHS Markit revealed Monday.

The manufacturing Purchasing Managers' Index fell to 50.7 in March from February's 20-month high of 51.4. However, the indicator remained above its long-run average.

Latest data signaled softer expansions in both output and new orders. Nevertheless, firms increased their staffing levels in response to increased new order volumes.

Meanwhile, cost pressures intensified, with input prices rising to the sharpest extent since October 2015, while output charges climbed at a slower pace.

Although manufacturers' remained optimistic towards the 12-month outlook for output, the level of positive sentiment was the weakest since December 2012, the survey showed.