New export orders continued to grow for its third consecutive month in June, according to last month’s reading in yesterday’s Emirates NBD Egypt PMI (pdf). The gauge came in 47.2 in June, broadly similar to last month’s reading 47.3. This growth in exports came on the back of greater interest from international markets and reports of new contract wins from overseas markets, as the weaker EGP continues to draw interest. “Egypt’s non-oil business continued to deteriorate during June — its 21st consecutive month — but at “a modest pace that was broadly in line with the trend observed throughout the 2Q2017,” said the report. Firms continued to cite weak domestic demand conditions as weighing on activity and new order growth, said the Head of MENA Research at Emirates NBD Khatija Haque. The overall downturn in non-oil business was led by a sharp fall in output, although the rate of contraction was only slightly below April’s nine-month low. There was a sharp rise in output charges was observed in June, although the rate of inflation eased to the weakest in 16 months. Firms signalled the passing on of higher cost burdens to clients where possible.

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