Chief Statistician Uzir Mahidin said the IPI rebounded to 4.3% in January after recording a slight drop of 0.03% in December 2023, marking the highest growth registered since May 2023.

He said the increase was spearheaded by a surge of 3.7% in the manufacturing sector compared to the negative 1.4% recorded in the previous month.

“Additionally, the mining sector sustained its upward trend by registering 5% (December 2023: 4.1%) while the electricity sector accelerated at a faster pace of 8.3% (December 2023: 4.1%).

“In comparison with the preceding month, the IPI improved by 2% against the negative 1.3% recorded in the previous month,” he said in a statement.

Uzir said the turnaround of 3.7% in the manufacturing sector in January was driven by the vibrant performance of domestic-oriented industries which picked up to 8% (December 2023: 4.2%).

“While export-oriented industries returned to positive growth of 1.6% after seven consecutive months in negative territory (December 2023: -4.1%),” he said.

The expansion in domestic-oriented industries was primarily reinforced by double-digit growth in the manufacture of motor vehicles, trailers, and semi-trailers which registered an increase of 12.1%, followed by the manufacture of fabricated metal products except machinery and equipment at 11.9%.

“In addition, the manufacture of food processing products also contributed with a growth rate of 8.5%,” he said.