Saudi Arabia’s non-oil business sector has witnessed a robust surge in November, marking the fastest rate since July 2023, according to Reuters.
The seasonally adjusted Riyad Bank Saudi Arabia Purchasing Managers’ Index grew to 59.0 from October’s 56.9.
This noticeable hike represents the fourth consecutive monthly rise in the headline PMI, which remained well above the 50.0 mark, the dividing line between growth and contraction.
Crucially, the new orders subindex surged to 63.4 in November compared to October’s 62.5.
This increase is basically due to the significant growth in customer bases and growing investment spending.
“This robust expansion, marked by accelerated output and demand, reflects the increasing capacity of non-oil sectors to contribute to economic activity independently of oil price fluctuations,” Naif Al-Ghaith, Riyad Bank’s Chief Economist stated.
Besides, the output subindex increased to 63.8 in November in comparison to October’s 60.2. The data also showed that firms added jobs in November at a faster rate than October.
Looking ahead, Saudi Arabia is anticipating a fiscal deficit of $27 billion in 2025 with amounting strategic spending on projects outlined by the Saudi Vision 2030.
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