FX.co ★ UAE Non-Oil Sector Growth Picks Up in Aug

The S&P Global UAE PMI improved to 53.3 in August 2025, recovering from a more than four-year low of 52.9 recorded in July. This improvement was largely attributed to an acceleration in output growth, which reached a six-month peak, slightly surpassing the survey’s long-term average. This was facilitated by stronger sales, ongoing projects, and robust domestic demand. Conversely, new order volumes fell to their lowest point since June 2021, due to increasing competitive pressures and persistent supply chain challenges. On the inflationary front, input costs increased at a quicker rate for the second consecutive month, reaching their highest level since February. In response, non-oil firms made modest hikes in their selling prices, marking the fastest increase in five months and one of the highest ever recorded. Lastly, business confidence improved in August, as non-oil companies expressed optimism that stable economic conditions and strong client relationships would underpin continued growth over the coming year.