UAE Non-Oil Private Sector Growth Slows to Near 4-Year Low in March
The UAE's non-oil private sector activity expanded at its weakest pace in nearly four years during March, driven by the Middle East conflict which negatively impacted demand and disrupted supply chains. According to the S&P Global Purchasing Managers' Index (PMI), the headline index fell to 52.9 from 55.0 in February, marking the lowest level since July 2021. Output growth slowed significantly to a subindex of 54.9, while new orders retreated to 54.5, both representing their softest expansions in years. Key sectors such as tourism, retail, and logistics were most affected, though technology and construction showed resilience. Supply chain disruptions led to lengthened supplier delivery times following the closure of the Strait of Hormuz, and business expectations for the next 12 months dropped to their lowest point in over five years. The Dubai PMI also declined to 53.2, reflecting broader regional economic pressures.
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UAE Non-Oil Private Sector Growth Slows to Near 4-Year Low in March
The UAE's non-oil private sector activity expanded at its weakest pace in nearly four years during March, driven by the Middle East conflict which negatively impacted demand and disrupted supply chains. According to the S&P Global Purchasing Managers' Index (PMI), the headline index fell to 52.9 from 55.0 in February, marking the lowest level since July 2021. Output growth slowed significantly to a subindex of 54.9, while new orders retreated to 54.5, both representing their softest expansions in years. Key sectors such as tourism, retail, and logistics were most affected, though technology and construction showed resilience. Supply chain disruptions led to lengthened supplier delivery times following the closure of the Strait of Hormuz, and business expectations for the next 12 months dropped to their lowest point in over five years. The Dubai PMI also declined to 53.2, reflecting broader regional economic pressures.
Business & Economy