Decline in Egypt's non-oil private sector softens marginally in July
Updated 8/3/2023 8:11:00 AM
Arab Finance: Egypt’s non-oil private sector businesses saw a softer downswing in operating conditions in July, following a remarkable decline in the contraction rate at the end of the first half of 2023, according to the S&P Global Egypt Purchasing Managers’ Index™’s (PMI™) survey posted on August 3rd.
The headline seasonally adjusted S&P Global Egypt PMI recorded 49.2 points in July, compared to a previous monthly reading of 49.1 points, which is still below the 50-point threshold that separates expansion from contraction, the data showed.
The report showed that output levels eased at the softest rate since September 2021, while new business activities contracted at the weakest pace in a year-and-a-half year period.
In the same vein, purchasing activity saw its softest drop in one and a half years.
As regards the outlook, firms remained baffled about future activity, showing the lowest level of confidence ever.
“Selling prices rose modestly and at the softest pace since April 2022, which should help to boost demand in the months ahead,” Senior Economist at S&P Global Market Intelligence David Owen commented.
“Despite the general movement back to stabilization territory, firms are still fairly subdued about the future, with just 6% of survey panelists expecting output to grow over the next 12 months,” he added.
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