UAE Non-oil Growth Accelerates in October

753

The seasonally adjusted Emirates NBD UAE Purchasing Managers’ Index, which covers manufacturing and services, rose to 55.9 in October from 55.1 in September. Above 50 indicates expansion and below shows a contraction.

Growth of the country’s non-oil private sector accelerated in October as output picked up, the latest survey of companies showed.

Output growth accelerated to 60.5 from 58.9 while new order growth was almost unchanged at 59.9.

However, employment growth was barely changed at 51.3.

“The increase in the UAE’s headline index in October reflects faster output growth and a sharp increase in inventories, as firms anticipate stronger demand in the coming weeks,” said Khatija Haque, head of regional research at Emirates NBD.

“However, the survey showed that firms continued to discount selling prices in order to support demand, and the employment growth remains modest.”

Output prices fell for a second straight month in October, with deflation deepening, while input price inflation accelerated.

LEAVE A REPLY