#Saudi non-oil private sector continues solid growth in January -PMI | Reuters

Saudi non-oil private sector continues solid growth in January -PMI | Reuters

Saudi Arabia’s non-oil private sector grew strongly in January, its fifth straight month of expansion, as output soared and firms were hopeful of a substantial economic recovery, a survey showed on Wednesday.

The seasonally adjusted IHS Markit Saudi Arabia Purchasing Managers’ Index (PMI) rose slightly to 57.1 in January from 57.0 in December. The 50.0 mark separates growth from contraction.

The January and December readings were the highest since November 2019 and above the series average of 56.9, according to a Reuters calculation based on the PMI data.

“The country has been helped by low case numbers, while other parts of the world have suffered a spike in infections that risks derailing the upturn in the global economy,” said David Owen, economist at survey compiler IHS Markit.

The headline index’s rise was supported by the sharpest growth in business activity in 15 months - output rose to 61.2 in January from 59.0 in December.