FX.co ★ Saudi Non-Oil Private Sector Growth at 5-Month Low

Riyad Bank's Purchasing Managers' Index (PMI) for Saudi Arabia experienced a slight dip to 58.1 in March 2025, down from February's 58.4, indicating the slowest expansion in the non-oil private sector since last October. Despite this deceleration, the figure remained modestly above the series average of 56.9, signaling strong demand, albeit with a decrease in new order growth following the near 14-year high recorded in January. Foreign sales grew at a more subdued pace. Employment growth remained consistent with February's 16-month peak, as companies continued to focus on enhancing their sales teams and boosting overall capacity. Regarding pricing, input cost inflation reached its lowest level in over four years, driven by reduced purchase prices and wage inflation. Consequently, output costs fell for the first time in six months, influenced by heightened market competition.