Arab News, Sunday, Mar 05, 2023 | Sha'ban 13, 1444
Saudi non-oil private sector growth accelerates as PMI hits 8-year high in February
Saudi Arabia:
Saudi Arabia’s non-oil private sector witnessed
tremendous growth in February, as the Kingdom’s Purchasing Managers’ Index hits
59.8, up from 58.2 in January.
The latest Riyad Bank Saudi Arabia PMI report,
formerly the S&P Global Saudi Arabia PMI, noted that the Kingdom’s PMI for
February is the highest since March 2015.
In December 2022, the Kingdom’s PMI stood at 56.9;
in November, the index hit 58.5.
According to the index, readings above the 50-mark
show growth, while those below 50 signal contraction.
“Economic conditions remain favorable across
business activities in February 2023, as growth in the Saudi non-oil private
sector accelerated to the highest level in almost eight years,” said Naif
Al-Ghaith, chief economist at Riyad Bank.
He added: “Despite tighter monetary conditions,
demand and supply balance seemed robust and spurred by the ongoing projects
around the Kingdom, causing sharper uplifts in output and new orders for firms,
as well as rising demand for labor. This was met by a strong improvement in
supplier performance and sharp reduction in lead times.”