The United Arab Emirates' non-oil private sector grew at its fastest pace in four months in July as new orders climbed to a five-month high and export business rose, a business survey showed on Wednesday.The S&P Global UAE Purchasing Managers' Index (PMI) rose to 52.7 in July from 50.8 in June, a survey by S&P Global showed. The 50-mark separates growth from contraction."July data signalled some relief for UAE companies... as a restoration of business confidence and a period of smoother trade flows allowed for a pick-up in growth," said David Owen, Principal Economist at S&P Global Market Intelligence.Owen said uncertainty around the Strait of Hormuz continued to cloud the outlook, even as shipping conditions improved modestly in July.New orders expanded at the fastest pace since February, while export business increased for the first time since March and at the quickest rate in a year.Firms linked this to easing regional tensions and stronger activity across the Gulf.Employment returned to growth after June's steep drop.Business confidence weakened for a third straight month to its lowest since March.Backlogs of work rose at the strongest rate in four months, reflecting firmer demand and freight congestion.Input cost inflation edged closer to April's recent peak.Firms raised selling prices again, but only mildly.
UAE non-oil growth hits four-month high in July, PMI shows
The UAE's non-oil private sector expanded at its fastest pace in four months in July, driven by stronger new orders, a rebound in export business and improved trade conditions, an S&P Global survey showed. Employment returned to growth, while business confidence weakened for a third consecutive month amid continued uncertainty over the Strait of Hormuz.
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