RIYADH: Saudi Arabia’s non-oil private sector maintained solid growth in July, with the Purchasing Managers’ Index standing at 53.1 supported by resilient output and new orders despite persistent regional headwinds.
The Riyad Bank Purchasing Managers’ Index, compiled by S&P Global, signaled a fourth consecutive monthly improvement in operating conditions as it remained comfortably above the neutral 50 threshold, with the figure just 0.2 points lower than June’s rating.
The survey adds to broader signs of resilience in the country’s non-oil economy despite heightened geopolitical uncertainty, with the International Monetary Fund expecting Saudi Arabia’s economy to grow by 1.7 percent in 2026 before accelerating to 5.5 percent in 2027.
Domestic demand, government spending and the continued implementation of Vision 2030 projects are set to support non-oil activity even as regional tensions weigh on confidence and trade.
“The latest survey suggests that domestic demand is gradually strengthening as market conditions normalize following recent regional disruptions, supporting sustained increases in both output and new orders,” Naif Al-Ghaith, chief economist at Riyad Bank, said.
