Riyadh, Saudi Arabia — The seasonally adjusted Riyad Bank Saudi Arabia Purchasing Managers’ Index (PMI), formerly S&P Global Saudi Arabia PMI, dropped to 58.4 points in December 2024.
The latest reading indicated a significant improvement in operating conditions in the non-oil private sector, while the index has remained above the neutral level (50.0 points) since September 2020, Argaam reported.
The index indicated a robust conclusion to 2024 for Saudi Arabia’s non-oil private sector. Business conditions experienced a marked improvement, propelled by a substantial surge in new orders.
This surge was attributed to high domestic demand and strengthening exports. Consequently, the volume of total sales registered its most rapid growth in a year, fostering a significant rise in both business activity and inventory levels, Argaam reported.
The report attributed the surge in new business volumes for non-oil companies in December to a confluence of factors: robust economic conditions, robust customer demand, and the successful execution of new marketing campaigns.
The growth rate was the fastest in a year, accelerating every month since August. Nearly four in 10 of surveyed companies saw an increase in new order flows during December, according to Argaam. This growth was particularly pronounced within the wholesale and retail sectors.