FX.co ★ Uganda Private Sector Growth at 3-Month High

The Stanbic Bank Uganda Purchasing Managers' Index (PMI) saw an uptick, reaching 52.9 in March 2025, up from 52.6 in February. This indicates a continued enhancement in business conditions for the second month in a row and represents the most robust expansion in the private sector since December 2024. The growth was largely fueled by a rise in output for the second consecutive month, supported by ongoing strong demand. New orders also exhibited widespread growth, with all five monitored sectors reporting heightened business activity in March. As a result, staffing levels rose, driven by the employment of temporary workers to accommodate the influx of new orders and the expected increase in output in the coming months. On the pricing front, inflationary pressures were noted, as firms reported increased costs related to utilities, shipping, and raw materials, which in turn led to heightened selling prices. Overall, business confidence remained high, with firms expressing optimism about future demand and sales growth.