United Arab Emirates: PMI inches down in June
July 6, 2015
The Emirates NDB Egypt Purchasing Managers’ Index (PMI) inched down from 56.4 in May to 54.7 in June. Despite the monthly drop, the PMI remains firmly entrenched above the 50-threshold that separates expansion from contraction in the non-oil producing private sector.
June’s figure came on the back of a deceleration in new orders, which grew at the slowest rate since April 2012. In addition, output continued to expand in June, even though the rate of expansion was milder compared to the previous month’s increase. On the contrary, the rate of job creation was broadly stable from the solid pace seen in May. Analysts added that, “activity growth eased to a 20-month low, while new work inflows rose at the slowest pace since April 2012. However, the respective rates of increase remained marked overall. According to panellists, improved marketing strategies, new client wins and new product launches all helped to boost demand conditions, which in turn led to another expansion in output.”
Author: Dirina Mançellari, Senior Economist