Riyadh – Mubasher: Saudi Arabia’s headline seasonally adjusted Purchasing Managers’ Index (PMI) rose to 60.5 in January 2025 from 58.4 in December 2024, which is the highest since September 2014.
Non-oil business conditions improved substantially mainly due to the fastest growth in total new orders since June 2011, which encouraged rapid expansions in activity and stocks, according to Riyad Bank’s latest data.
Firms recruited additional staff for the ninth month in a row, which contributed to reducing outstanding business levels.
Naif Al Ghaith, Chief Economist at Riyad Bank, said: “This strong performance underscores the resilience of the non-oil private sector, fueled by surging new orders and a significant rise in business output. "
"The Output Index, reaching its highest level in 18 months, underscores strong demand conditions, with nearly 30% of firms reporting higher activity levels,” Al Ghaith mentioned.
He noted: “Nearly 45% of firms observed higher sales volumes, attributing this growth to positive economic conditions and the acceleration of infrastructure projects.”
“The rise in export orders further complemented domestic demand, particularly from GCC countries, reflecting effective marketing and competitive pricing strategies,” the economist highlighted.