Wednesday 3 July 2024

#Saudi non-oil activity grows at slowest pace in 2 1/2 years, PMI shows | Reuters

Saudi non-oil activity grows at slowest pace in 2 1/2 years, PMI shows | Reuters

Non-oil business activity in Saudi Arabia expanded at its weakest pace in 2 1/2 years in June as new orders slowed further, although the sector still grew at a healthy clip, a survey showed on Wednesday.

The seasonally-adjusted Riyad Bank Saudi Arabia Purchasing Managers' Index fell to 55.0 in June from 56.4 the previous month, and was the lowest reading since January 2022, although it was still well above the 50-level which indicates growth in activity.

The new orders sub index fell to 56.0 from 59.5 the previous month.

Jobs growth also slowed, although the output sub-index ticked up.

"Looking at the second quarter as a whole, the growth figures for Q2 still indicate a positive outlook for non-oil GDP in Saudi Arabia, with expectations of growth exceeding 3%," said Naif Al-Ghaith, Chief Economist at Riyad Bank.

"The high output levels, stable supply chains, and moderate job creation point towards a resilient and expanding non-oil economy."

No comments:

Post a Comment