{"id":89717,"date":"2024-03-06T00:00:00","date_gmt":"2024-03-06T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/uae\/non-oil-sector-expands-at-the-fastest-pace-since-2019\/"},"modified":"2024-03-06T00:00:00","modified_gmt":"2024-03-06T00:00:00","slug":"non-oil-sector-expands-at-the-fastest-pace-since-2019","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/uae\/2024\/03\/06\/non-oil-sector-expands-at-the-fastest-pace-since-2019\/","title":{"rendered":"Non-oil sector expands at the fastest pace since 2019"},"content":{"rendered":"

Activity in the non-oil sector expanded at its fastest pace in five years in <\/strong>February<\/strong> on the back of growth in market demand and client activity, fueled by an improvement in business conditions, according to S&P Global\u2019s purchasing manager\u2019s index (pdf)<\/a>. The PMI gauge climbed to 57.1 in February, up from 56.6 in the previous month<\/a>, indicating \u201ca sharp upturn in overall operating conditions,\u201d S&P Global said. The index remains firmly above the 50.0 threshold that separates growth from contraction. <\/p>\n

February\u2019s reading signals \u201cstrong upwards momentum in the non-oil economy<\/strong> at the start of 2024,\u201d said S&P Global Market Intelligence Senior Economist David Owen.<\/p>\n

But new orders are slowing:<\/strong>New order growth expanded at its slowest rate in six months, \u201csuggesting output growth could also begin to slow,\u201d Owen said. This was attributed to the increase of competitive pressure. <\/p>\n

Red Sea disruptions also fed into transport delays<\/strong>, with vendor performance improving only marginally as volumes of backlogged work rose at its sharpest rate in almost four years. \u201cOverall supply chain performance improved at the weakest rate since last July, but nonetheless still improved, suggesting that the impact on vendors is so far limited,\u201d according to Owen. <\/p>\n

Hiring was at its<\/strong>highest level since last May<\/strong> as firms look to deliver on the increasing new orders and to offset backlog growth, S&P Global said. <\/p>\n

Optimism rose to a four-month high<\/strong>, though \u201cconcerns of a crowded market remain and appeared to dampen sales growth further,\u201d Owen added.<\/p>\n

FROM THE REGION- <\/strong><\/p>\n