UAE – Mubasher: The seasonally adjusted S&P Global UAE Purchasing Managers’ Index (PMI) grew to 54.2 in September 2025 from 53.3 in August, according to the latest S&P Global PMI data.
The survey reflected the strongest improvement in the UAE’s non-oil business conditions in seven months, signaling a notable rebound in private sector activity.
The upturn reflected a faster rise in new business intakes, as firms reported better demand conditions, increased client engagement, and new project wins.
The expansion in new orders accelerated to its quickest rate since February, following August’s four-year low.
Supported by rising sales, business output grew sharply at the end of the third quarter (Q3), driven by ongoing projects, supportive government policies, and improving market conditions.
Meanwhile, employment levels increased at the fastest rate since May, as firms responded to higher workloads and sought to ease capacity pressures.
Purchasing activity also picked up after August’s slowdown, though businesses remained cautious about inventory levels, leading to a third consecutive month of stock depletion.
Despite rising input costs, output price inflation softened in September, as competitive pressures limited firms’ ability to raise selling prices.
Backlogs of work continued to rise, albeit at one of the slowest rates since early 2024.
David Owen, Senior Economist at S&P Global Market Intelligence, said: “Over 30% of surveyed firms reported an increase in new order intakes during the month, which drove a sharp improvement in sales growth from its over four-year low in August. ”
“The uplift pointed to some positive momentum in the domestic market as export sales growth remained relatively muted,” he added.
“That said, competitive pressures were again noted as a key issue, with several panellists linking this to caution around purchasing and pricing decisions. Backlogs also rose, although the latest uptick was among the slowest recorded since the start of last year,” the economist concluded.
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