Saudi Arabia’s non-oil private sector slowed down at the beginning of the fourth quarter with output, new orders and employment rising at weaker rates.
However, the sector remains in an expanding mode overall, according to a report published by Arab News daily.
The report indicates that purchasing costs surged at the sharpest pace since July 2014, while charges edged up only marginally with competitive pressures preventing higher costs from being passed immediately onto client.
The report, which contains the findings of a survey sponsored by Emirates NBD and produced by Markit, shows that business conditions in the kingdom expanded at the weakest pace in the survey’s history; there have been slow rates of growth in output, new orders and employment since September and cost pressures inched up to a 14-month high.
Furthermore, the slowdown in October was partly driven by a weaker expansion in new business.
According to recent data, new orders increased at the least-marked rate since the series began in 2009, with panelists indicating that slower market conditions had restricted some of the gains in spite of improving demand and marketing initiatives.
Additionally, growth of new export business also eased, but remained stronger than the long-run average.