Uganda’s private sector continued to improve in July – PMI

Uganda‘s private sector continued to improve in July, according to Stanbic Bank Uganda’s Purchasing Managers’ Index (PMI), which rose to 53.7 in July, up from June’s 51.9. This marks the fourth consecutive month of growth, driven by sustained increases in output and new orders.

Business optimism remains high, with firms expanding their workforce and increasing input purchases to meet growing client demand. Input prices, including staff and purchase costs, have risen, prompting firms to raise selling prices.

Despite these cost pressures, businesses across all monitored sectors—agriculture, industry, construction, services, and wholesale/retail—reported robust performance.

Stanbic Bank economist Christopher Legilisho noted that firms are preparing for continued strong client demand over the next 12 months, reflected in increased employment and stockpiling of raw materials. The official inflation rate in July was 4 per cent year-on-year (YoY), up slightly from June’s 3.9 per cent.

The data collected from July 11-30 highlights a resilient private sector, poised for further growth amid favourable sales conditions and efficient supply chain management.

Attribution: Stanbic Bank Uganda’s Purchasing Managers’ Index (PMI)