ASTANA - Kazakhstan's manufacturing PMI fell to 47.4 in March 2026, recording the steepest decline in production since the beginning of 2022, according to Freedom Holding Corp. PMI data, Kursiv.kz reports.
This negative trend marks the third consecutive month: in February, the indicator stood at 48.1. The key factors behind the decline were weak demand and the January tax hike. As a result, many companies were forced to lay off staff and reduce purchasing activity.
At the same time, analysts are recording a slower decline in new orders compared to February and tentative signs of demand stabilization by the end of the first quarter. Inflationary pressure is also easing: resource costs grew at the slowest rate in the past two and a half years.
"Manufacturers have scaled back their operations in response to weak demand, but we hope for a quick recovery in consumer activity," noted Saltanat Mukhambetalieva, head of economic research at Freedom Holding Operations.
Experts attribute the current situation to the January VAT rate increase: businesses admit that adapting to the new fiscal conditions is proving more painful than regulators had predicted.
CentralasianLIGHT.org
April 1, 2026