TORONTO, March 1 (Reuters) - Canadian manufacturing activity grew at a faster pace in February than in January as better news on vaccines underpinned confidence and new orders and employment climbed, data showed on Monday. The IHS Markit Canada Manufacturing Purchasing Managers’ index (PMI) rose to a seasonally adjusted 54.8 in February from 54.4 in January. It was the eighth straight month the index was above the 50 threshold that marks expansion in the sector. The data “highlights another solid improvement in the overall health and resilience of Canada’s manufacturing sector,” Shreeya Patel, an economist at IHS Markit, said in a statement. “Firms remain widely upbeat about their growth prospects with vaccination news underpinning optimism during February.” Canada’s COVID-19 vaccination campaign is ramping up after earlier supply disruptions. Approval on Friday of AstraZeneca’s vaccine by Canada’s drug regulator could further accelerate the campaign. The PMI’s measure of future output rose to a five-month high of 64.4 from 60.2 in January, showing that manufacturers were optimistic about output levels in the year ahead. The new orders index rose to 54.4 from 53.6 in January, while the measure of employment was up to 52.6 from 51.3. Still, restrictions to contain the spread of the pandemic led to intense supply chain pressures, with firms reporting material shortages and transportation delays, IHS Markit said. The suppliers’ delivery times index held steady at 34.0, showing delivery times lengthening for the 18th straight month. (Reporting by Fergal Smith Editing by Chizu Nomiyama)