The non-oil private sector continued its growth in Dubai during last May, according to the Purchasing Managers’ Index, which is issued on a monthly basis by the British company IHS Markit, which specializes in economic data.
And the index readings for the month of May indicated that output and new business continued to grow, albeit to a lesser extent than their growth in April. Thus, private sector output continues to grow for the sixth consecutive month. The construction sector, in particular, was the fastest growing sub-sector.
In May, the index scored 51.6 points, and despite its decline from April, when it reached 53.5, which was the highest rise for the index in Dubai in 17 months, but the May reading is the second fastest improvement in the operating conditions and environment for the non-oil private sector in the emirate, over a period of 10 months.
The indicator showed that the continuation of work on construction projects, which are still in progress, outweighed the positive impact of the decline in the number of new purchase orders.
May witnessed an increase in the prices of production inputs for the fourth month, and the overall rate of inflation remained weak. Accordingly, the decline in fees for private sector products was renewed, after companies raised the prices of their products in April, for the first time in three years. According to experts, in May, companies gave discounts on the prices of their products, in order to finalize purchase orders and gain new customers.