Dubai’s non-oil private sector grew robustly in December, with activity reaching its highest level in 16 months as new orders rose and cost pressures eased.
The seasonally adjusted S&P Global Dubai purchasing managers’ index hit 57.7 last month, up from 56.8 in November and well above the neutral 50-point mark separating an expansion from a contraction.
The reading was the highest since August 2022 and the second highest in four-and-a-half years.
Companies continued to report rapid improvements in sales and activity, while softening cost pressures allowed them to offer greater discounts to customers, the survey said.
“The Dubai non-oil economy ended 2023 on a high, according to PMI results, as the headline index rose to a 16-month peak and indicated a substantial improvement in business conditions in December,” said David Owen, senior economist at S&P Global Market Intelligence.
New order growth accelerated to the second quickest since mid-2019, “confirming the strength of market demand across the emirate as we enter the new year”, he said.