The PMI (Purchasing Managers’ Index) published by BlomInvest for February 2025 revealed that business activity among Lebanese private sector companies recorded new growth.
Commenting on the results, Mira Said, Chief Research Analyst at Blom Business Bank, noted that the PMI slightly declined from 50.6 points in January 2025 — its highest level since May 2013 — to 50.5 points in February 2025. However, it remained within the growth range. She highlighted that all sub-categories of the index stayed positive. Nonetheless, input prices increased, leading to higher purchasing costs, which were ultimately borne by consumers.
Said also remarked that “the election of a new president and the formation of a reformist government have contributed to improving confidence among Lebanese private sector businesses.” However, she pointed out that Israel’s refusal to withdraw from five strategic sites in Lebanon “could explain the slight drop in the PMI,” emphasizing that this situation represents “a threat to the country’s security.” She further noted that “political and sectarian divisions, as well as persistent corruption, continue to pose challenges.”
Despite uncertainties about Lebanon’s recovery prospects, Said stated, “The country’s current conditions are believed to have hit rock bottom and can only improve from here.”
The survey's main findings for February 2025 highlighted that “new orders continued to grow for the second consecutive month, despite a slowdown in the growth rate.” Additionally, “the rate of sales growth was among the highest since the survey began.” This suggested an increase in new business from international clients.
Lebanese private sector companies also observed an increase in export orders for the first time since November 2023. This rise supported the growth of business activity among Lebanese companies in February 2025, marking two consecutive months of growth for the first time in over a year and a half.
However, the improvement in sales put pressure on the operational capacities of businesses, as evidenced by an increase in backlogged orders. The level of outstanding work reached its highest point since the survey’s launch in May 2013. In response to the rise in new orders, Lebanese private sector companies increased their workforce for the first time since November 2023.
It is worth noting that the PMI is an indicator based on monthly results from 400 companies. It measures private sector business activity. A value below 50 points indicates a contraction in activity, while a lower value than the previous month signifies a continued decline.
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