Dubai-Mubasher: The UAE' non-oil private sector activity expanded at a faster pace in November after its decline to a two-and-a-half year low during October, according to a survey sponsored by Emirates NBD and produced by Markit on Monday.
On the flipsdie, companies saw their pricing power diminish in November. Input costs icreased further, but competitive pressures meant that charges fell regardless.
The rebound in the UAE Purchasing Managers’ Index (PMI) in November, and particularly the rise of output and new orders, is encouraging, according to Khatija Haque, Head of MENA Research at Emirates NBD.
“While the PMI data points to slower non-oil growth in the UAE this year relative to 2014, it is important to recognize that the non-oil economy is still expanding at a solid rate despite the sustained weakness in oil prices, tighter liquidity conditions and increased uncertainty about government spending in the region as we head into 2016,” she added.
PMI recovered on solid growth in the country’s non-oil private sector, rising to 54.5 in November from a two-and-a-half year low of 54 in the previous month.
Activity rose more quickly in November, having previously increased at the slowest rate in two years during October, according to underlying data.
Panellists noted that new business gains were behind rises in output.
Though remaining marked, growth of new work failed to accelerate in November. In fact, the respective index dropped slightly to a 43-month low.
