DUBAI, Nov 4 (Reuters) – The United Arab Emirates’ non-oil private sector expanded strongly in October as new orders accelerated and firms passed on surging costs at a record pace, a business survey showed on Wednesday.
• The seasonally adjusted S&P Global UAE Purchasing Managers’ Index (PMI) fell to 54.8 in October from 55.3 in September but held far above the 50 mark that divides growth from contraction
• “Output prices across the UAE non-oil private sector rose at the fastest rate in the survey’s history in October, as input cost inflation quickened to its highest since June 2022,” said David Owen, principal economist at S&P Global Market Intelligence
• Output growth stayed strong, easing only marginally from September’s seven-month high. Firms cited gains in construction, retail, tourism and manufacturing, although some flagged regional conflict, competition and weaker discretionary spending
• Demand strengthened, with new orders rising faster than in September as companies won new clients and repeat business. New export work increased at the quickest rate in two years
• Selling charges rose at the fastest rate since the survey began in August 2009, while input cost inflation hit its highest since June 2022, driven mainly by higher purchase prices for raw materials, fuel, energy and freight
• Employment dipped fractionally, the third decline in five months, as some firms cut headcounts to control costs. That left backlogs rising sharply again, though the pace of accumulation was the softest in three months
(Reporting by Reuters; Editing by Joe Bavier)
Comments