Non-oil enterprise exercise within the United Arab Emirates eased in July as new orders slowed from a four-year excessive the earlier month, a survey confirmed on Thursday.
The seasonally adjusted S&P World UAE Buying Managers’ Index slowed to 56.0 in July, from 56.9 in June, however remained firmly above the 50 mark, which indicators progress in exercise.
For all latest news, follow The My News’s Google News channel. The slowdown was attributed partially to an easing of progress in new orders, though demand remained robust, with the sub-index falling to 57.4 in July from 61.0 the earlier month, which was the quickest fee of enlargement since June 2019.
Larger competitors was among the many causes for the dampening in gross sales progress, the survey mentioned.
“The most recent PMI knowledge pointed to a slight recalibration of the energy of the UAE non-oil economic system in July, as new enterprise progress slowed from its four-year excessive in June and the output enlargement subsequently lessened,” mentioned David Owen, senior economist at S&P World Market Intelligence.
Owen added that the “the easing of gross sales progress was substantial and, if accelerated in future months, means that the demand growth might have reached its peak.”
Whereas output remained firmly in enlargement territory, the tempo of progress eased to 62.8 in July from 64.1 the earlier month.
General financial progress among the many Gulf oil exporting nations is anticipated to be weaker this yr on decrease oil costs and international macroeconomic considerations, however non-oil progress has remained resilient.
Non-oil GDP of Abu Dhabi, the UAE capital, grew 6.1 % within the first quarter outperforming general GDP progress of three.9 %, in line with authorities knowledge.
The most recent survey confirmed a optimistic outlook over the following 12 months, on expectations of improved financial situations and advertising and marketing and gross sales pipelines.
