Saudi Arabia’s non-oil economic growth reached a 10-month high in August, according to the latest Purchasing Managers Index (PMI) data from S&P Global.
The Kingdom’s PMI climbed to 57.7 in August, up from 56.3 in July and the highest since October 2021.
According to the index, non-oil production in Saudi Arabia continued to grow at a noticeable rate in the middle of the third quarter of 2022.
The recovery led to a particularly sharp rise in purchases at the fastest rate in seven years, in addition to an increase in inventory volume and job creation.
Production also increased, mainly due to the surge in new business flows, which in turn was supported by improved demand conditions.
The index revealed that the volume of new business rose at the fastest rate among wholesale and retail companies, while expansions were noticed in the manufacturing, construction and services sectors.
“The Saudi Arabia PMI pointed to added resilience in the non-oil economy during August, as business activity and sales continued to rise sharply despite reports of mounting global economic distress,” said David Owen, economist at S&P Global Market Intelligence.
“Total new orders rose at the quickest pace since October last year, driven by improving client demand, higher exports, and a broad recovery in economic conditions since the pandemic,” he added.
