Saudi Arabia: PMI edges down again in November, indicates moderation
December 4, 2014
The Purchasing Managers’ Index (PMI) elaborated by the Saudi British Bank (SABB) and HSBC fell from 59.1 in October to 57.6 in November. The PMI, which now sits at its lowest level since May, is still well above the 50-threshold, indicating an expansion in business activity in the non-oil producing private sector.
SABB and HSBC stated that, “growth in Saudi Arabia’s non-oil private sector economy was sustained during November, but at a slower pace as output, new orders and employment all increased at weaker rates.” Moreover, respondents to the November survey indicated that output prices stabilized over the previous month due to an increase in competitiveness. However, businesses pointed out that input prices continued to increase in November, “at a marked pace,” primarily due to higher purchase prices.
Author: Ricardo Aceves, Senior Economist