Riyadh – Mubasher: Saudi Arabia’s non-oil private sector growth hit all-time high in 27 months in November, according to Emirates NBD’s report on Tuesday.
Emirates NBD Saudi Arabia Purchasing Managers’ Index (PMI) rose to 57.5 in November, up from 55.6 points in October, backed by strong growth in non-oil private sector.
The Kingdom’s non-oil private sector’s production grew largely and saw a rise in demand, the cost increased slightly, and prices have been stable since October, the report added.
“The strong November PMI reading is particularly encouraging given the heightened political uncertainty in the Kingdom, and indicates that it was largely “business as usual” last month,” Head of MENA Research at Emirates NBD, Khatija Haque said.
“That output and new orders continued to increase sharply bodes well for non-oil sector growth in the fourth quarter. Higher oil prices likely contributed to the broadly positive business sentiment,” Haque added.
In November, the non-oil sector’s production hit its highest level in ten months, while its growth hit its level in 27 months.
“New export order growth reached a three-month high during November. Non-oil private sector firms commonly linked the rise in new orders from abroad to an economic upturn in neighbouring countries,” the report noted.
Stocks of purchases were accumulated at the second-fastest rate in the survey’s history in November.
“Firms noted that increasing demand had led them to build-up their inventories,” the report concluded.
