Saudi Arabia: Non-oil PMI increases robustly in May
The Purchasing Managers’ Index (PMI), produced by IHS Markit, increased from 55.2 in April to 56.4 in May. Consequently, the index moved further above the 50-threshold, indicating improving business activity in the non-oil private sector.
May’s pick up in momentum reflected stronger growth in new orders, supported by a strengthening external sector. Moreover, output increased at a quicker pace in May, but headcounts were virtually unchanged in the month relative to April.
David Owen, an economist at IHS Markit, commented:
“Saudi Arabia’s non-oil sector continued to enjoy a strong recovery in May, led by a sharp rise in output that was the quickest since the end of 2017. Firms often cited growth in new business and a notable pick up in export sales.”