The S&P Global Egypt PMI slipped to 48.0 in March 2026 from 48.9 in February, its lowest level since April 2024. Non-oil private sector activity continued to contract, broadly in line with the survey’s long-run average of 48.2, as both output and new orders fell at the fastest rate in nearly two years amid the ongoing war in the Middle East, which weighed on demand and intensified price pressures.
Purchasing activity ticked up after two consecutive monthly declines, while employment stabilized following job cuts late last year. On the price front, input cost inflation accelerated to its joint-fastest pace in 18 months, driven by higher fuel and input costs associated with the conflict and a stronger US dollar. Output prices rose at the quickest rate since May 2025, though the increase remained modest and close to the long-run trend.
Looking ahead, business confidence turned negative for the first time in the survey’s history, although pessimism was limited. Only a small number of firms cited war-related uncertainty as the main reason for their downbeat expectations.
