Business activity in non-oil private sector economies of Saudi Arabia, UAE surge in February

(MENAFN) In February, business activity in the non-oil private sector economies of Saudi Arabia and the UAE surged, with the Emirates, the Arab world's second-largest economy, witnessing the fastest growth in nearly five years.

The seasonally adjusted Riyadh Bank purchasing managers' index, which serves as a key indicator of the kingdom's non-oil economy, rose to 57.2 in February from 55.4 in January.

This increase indicates a significant enhancement in operating conditions across Saudi Arabia's non-oil private sector economy, marking the highest level of growth since September 2023.

Similarly, the headline S&P Global UAE Purchasing Managers' Index climbed to 57.1 in February, up from 56.6 in January. This trend aligns with the growth pattern observed since the final quarter of the previous year.

Notably, the rate of growth in non-oil private sector output levels in the UAE reached its peak since mid-2019, indicating robust economic activity in the country.

“The UAE PMI continued to signal strong upwards momentum in the non-oil economy at the start of 2024,” David Owen, senior economist at S&P Global Market Intelligence, made this observation.

“One of the PMI's largest components, the output index, rose to its highest level since June 2019, pointing to a rapid expansion of business activity as firms look to take full advantage of strong market growth and maintain a competitive edge,” he added.

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