Manila: The country's manufacturing sector continued to grow in February, albeit at a slower pace than January's expansion, SandP Global reported. The Philippine Manufacturing Purchasing Managers' Index (PMI) eased to 51 in February from January's 52.3.

According to Philippines News Agency, a PMI above 50 indicates sector improvement, while a score below reflects deterioration. "Robust growth observed from the end of the previous year into the beginning of this year waned in February, as the latest survey data indicated slower expansions in output and new orders," said SandP Global Market Intelligence economist Maryam Baluch.

The report highlighted that despite the slight cooldown in new orders and moderated output, manufacturers increased employment levels for the first time in three months. "Meanwhile, inflationary pressures eased, thus suggesting that the central bank will continue to proceed with a loosening of its monetary policy. This could in turn boost somewhat weakened business confidence and support further new order growth," added Baluch.

Looking ahead, manufacturers remained optimistic about the production outlook over the next 12 months. Firms expressed hope that demand trends would improve and that the upcoming election would provide an additional boost.