The IHS Markit PMI Index said Saudi Arabia, and the UAE and Egypt had a stronger recovery in non-oil sector in July.
Another month of improving business conditions across the Arab world’s three biggest economies isn’t translating into job gains just yet.
Employment continued to fall in Saudi Arabia, the United Arab Emirates and Egypt despite a stronger pickup in non-oil private sector activity in July, according to Purchasing Managers’ Index surveys compiled by IHS Markit.
Saudi Arabia’s PMI reached a five-month high of 50, the threshold that divides expansion from contraction, a report showed on Wednesday. The UAE had a second straight monthly improvement in business conditions.
“The July PMI scoring exactly 50.0 is a clear indication that the Saudi non-oil private sector is over the worst of the disruption caused by the pandemic, but remains some way from ‘normal’ business conditions,” said Trevor Balchin, Economics Director at IHS Markit.
