Colombia Manufacturing PMI Rises to 54.6, Strongest Since October 2025
COLOMBIA · ECONOMY
Key Facts
- —The country Colombia, home to about 53 million people, is one of Latin America’s largest economies. It swore in a new president, Abelardo de la Espriella, on 7 August 2026.
- —The background The Davivienda Colombia Manufacturing PMI, compiled by S&P Global from about 350 factories, slowed to 50.8 in April 2026, barely above the 50 line that separates growth from contraction.
- —Why now By August the index had recovered to 54.3, and factories say a calmer mood after the presidential election has brought in new customers and bigger orders.
- —What happened On 1 October 2026, S&P Global reported that the index rose to 54.6 in September from 54.3 in August, its best reading since October 2025.
- —The numbers Output grew at the fastest pace since November 2025, purchases rose at a survey-record pace, and confidence reached its highest level since July 2019.
- —What it means for you Colombian manufacturers are hiring, buying more inputs and raising prices more slowly. For suppliers and business partners, that signals firmer orders, though not a guarantee.
- —Still open Whether demand holds after the central bank raised its benchmark rate to 12.25% on 30 September, and whether other sectors catch up.
Colombia’s factories ended the third quarter growing faster. The Davivienda Colombia Manufacturing PMI rose to 54.6 in September 2026, from 54.3 in August, S&P Global reported on 1 October.
That is the strongest reading since October 2025 and the fifth monthly gain in output in a row. Any figure above 50 signals improvement on the month before, so September marked a broad and sharpening expansion.
What the survey measures
The purchasing managers’ index, or PMI, is a monthly survey of about 350 manufacturers. It asks whether orders, output, jobs, delivery times and stocks rose or fell compared with the month before.
S&P Global compiles it for Banco Davivienda, which describes itself as Colombia’s second-largest bank by loans. A reading of 50 means no change, and the long-run average since 2015 is about 50.9, according to TradingEconomics.
A year earlier, in September 2025, the index stood at 52.0. In April 2026 it had slipped to 50.8, close to stalling.
Orders, output and buying
New orders strengthened markedly, with growth among the strongest since the survey began in April 2011. Firms cited new customers and larger orders from existing clients.
Many linked those orders to “reduced market uncertainty following the election result”, S&P Global wrote. President Abelardo de la Espriella took office on 7 August.
Manufacturers responded by raising their buying at the fastest rate on record. Finished-goods stocks fell further, as companies sold from their warehouses to meet demand.
Jobs rose for a sixth month in a row, mainly through temporary hires. The pace of hiring, however, eased to a four-month low.
Business confidence reached its highest level since July 2019. Firms pinned their hopes on advertising, competitive pricing, diversification, partnerships and new product lines.
Prices cool, deliveries slow
Input costs rose again, but at the slowest rate in nine months. Firms reported higher prices for fabrics, foodstuffs, petroleum-based products and raw materials.
Factory selling prices also rose more slowly, and the pace fell below its long-run average. Some firms held back on increases to win sales.
Delivery times lengthened the most in three months. Firms blamed the earthquake, business closures and traffic jams.
The quake, of magnitude 7.4, struck on 10 August with its epicentre in Chocó, on the Pacific coast. The Pan American Health Organization called it the strongest in Colombia in a decade.
A strong factory, a cautious central bank
Davivienda’s chief of economic research, Germán Cristancho, called the momentum “outstanding”. He said this resilience is “particularly interesting” because it contrasts with “the moderation currently observed in other areas of the economy”.
His examples were retail sales and the pace of credit disbursements. Borrowing costs are also rising.
On 30 September, the Banco de la República, Colombia’s central bank, raised its benchmark rate to 12.25% from 12%. Four board members backed the move, two wanted no change and one wanted a bigger rise, El Tiempo reported.
It was the first rate vote for Finance Minister Miguel Gómez, who sits on the board. Central bank governor Leonardo Villar said inflation remains “very far from the target”.
Brazil’s manufacturing PMI, by contrast, fell to 44.8 in September. Colombia’s factories are moving in the opposite direction.
What comes next
The October PMI is due in early November. Official industrial output figures from DANE, the national statistics agency, follow with a longer delay and measure volumes rather than direction.
A reading of 54.6 does not mean the whole economy is booming; retail sales and credit are cooling, by Davivienda’s own account. Nor does it guarantee the pace lasts once higher interest rates feed through.
Frequently Asked Questions
What is the Davivienda Colombia Manufacturing PMI?
It is a monthly survey of about 350 Colombian manufacturers, compiled by S&P Global for Banco Davivienda. A reading above 50 means conditions improved on the previous month.
How strong is a reading of 54.6?
It is the highest since October 2025 and well above the series’ long-run average of about 50.9 since 2015. A year earlier, in September 2025, the index stood at 52.0.
Why are Colombian factories growing faster?
Firms reported new customers, larger orders and less uncertainty after the presidential election. They also launched new products and won project approvals.
Does this mean Colombia’s economy is booming?
No. Davivienda’s economists say retail sales and credit growth are moderating, and the central bank raised its benchmark rate to 12.25% on 30 September.
Sources: S&P Global, Davivienda Colombia Manufacturing PMI news release, 1 October 2026, S&P Global, April 2026 release, 4 May 2026, S&P Global, September 2025 release, 1 October 2025, TradingEconomics, Colombia Manufacturing PMI, 1 October 2026, El Tiempo, central bank decision, 30 September 2026, Pan American Health Organization, earthquake situation report 8, 11 September 2026. All retrieved 2 October 2026.
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