United Arab Emirates: PMI improves further in January
February 3, 2015
The HSBC Purchasing Managers’ Index (PMI) inched up from 58.4 in December to 59.3 in January, thus reaching the highest level in three months. As a result, the PMI remains firmly entrenched above the 50-threshold that separates expansion from contraction in the non-oil producing private sector.
January’s figure mainly reflected further increases in production and new orders from both the domestic and international markets. As a result, in January, firms hired new staff, continuing the trend observed since January 2012. HSBC analysts added that, “[t]he pick-up in activity at the start of the year is encouraging, but we continue to expect activity to lose speed into 2015 as low oil prices and weaker demand from key export markets in the Gulf weigh on momentum.”