Saudi Arabia: PMI inches down in January
February 3, 2015
The Purchasing Managers’ Index (PMI) elaborated by the Saudi British Bank (SABB) and HSBC inched down from 57.9 in December to 57.8 in January. That said, the PMI is still well above the 50-threshold, indicating an expansion in business activity in the non-oil producing private sector.
January’s result showed that growth in the non-oil private sector economy remained strong. According to SABB and HSBC, new orders rose at the fastest pace in four months, despite, “reports of increasing competitive pressures.” In addition, backlogs in January rose for the second consecutive year. On the other hand, output growth expanded, although at a slower rate. Prices charged in non-oil activities broadly showed no change.
Author: Ricardo Aceves, Senior Economist