KSA, 7 April, 2025 : Saudi Arabia's non-oil private sector continued to expand in March, supported by improved business conditions, lower input costs, and strong demand, according to the Riyad Bank Purchasing Managers' Index (PMI).
The seasonally adjusted PMI dipped slightly to 58.1 in March from 58.4 in February, remaining well above the 50-mark that indicates growth. New orders eased to 63.2 from February’s 65.4, but businesses continued stockpiling in anticipation of sustained sales.
Employment growth surged, marking the strongest quarter for job creation in over 12 years, driven by higher sales and efforts to expand capacity.
Naif Al-Ghaith, Chief Economist at Riyad Bank, credited the strong performance to regulatory reforms and infrastructure investments aligned with Saudi Arabia’s Vision 2030 strategy, which aims to raise the non-oil sector’s GDP share to 65%.
Input cost inflation fell to a four-year low, prompting companies to cut selling prices for the first time in six months amid increased competition.
However, the survey noted rising backlogs of work, the fastest since August 2018, due to strong demand and capacity constraints. Business confidence for the year ahead showed signs of softening, reflecting some caution despite recent gains.
Source : www.zawya.com
