Saudi Arabia: Non-oil PMI picks up in January
The S&P Global non-oil Purchasing Managers’ index (PMI) came in at 58.2 in January, up from December’s 56.9. As such, the index moved further above the 50.0 no-change threshold, signaling a faster improvement in non-oil private sector operating conditions compared to the previous month.
The PMI improved slightly as output, new orders and input purchases rose at a faster pace. Demand likely continued to be supported by low inflation and the ongoing Saudi Vision 2030 reforms. That said, employment grew at a weaker rate in January. Looking at prices, input inflation fell to the lowest in three months, and output inflation to the lowest in nearly a year. Looking at business sentiment, optimism rose to the highest level since January 2021.