Saturday 31 October 2020 - 3:04:11 am

Purchasing Managers' Index in UAE up to 11-month high


ABU DHABI, 5th October, 2020 (WAM) -- The IHS Markit United Arab Emirates Purchasing Managers' Index (PMI) increased to 51.0 in September 2020 from 49.4 a month earlier.

This was the highest reading since October 2019 following softer COVID-19 restrictions. Output rose for the fourth straight month and was at a faster rate, new orders expanded further, and export sales grew for the second month in a row.

The IHS Markit United Arab Emirates Purchasing Managers' Index is a composite indicator designed to give an accurate overview of operating conditions in the non-oil private sector economy.

Meanwhile, lead times continued to improve, albeit at only a marginal pace. As for cost, input prices rose for the fifth month running, while there were several instances of discounts offered to help stimulate demand.

At the same time, buying levels fell for the first time in four months, with companies often using existing inputs to fulfill output needs, which ended a prior four-month run of stock accumulation.

However, according to the index, business concerns led companies to a further cut to employment. At the same time, buying levels fell for the first time in four months, with companies often using existing inputs to fulfill output needs, which ended a prior four-month run of stock accumulation

WAM/Hatem Mohamed/Hassan Bashir