RIYADH: Growth in Saudi Arabia’s non-oil private sector picked up in February after slowing in January, when a 5 percent value-added tax was imposed and domestic fuel prices were hiked, a corporate survey showed on Monday.
The seasonally adjusted Emirates NBD Saudi Arabia Purchasing Managers’ Index edged up to 53.2 last month from 53.0 in January, when it hit its lowest level since the survey began in August 2009. A level above 50 means business is expanding.However, demand remained softer than in the fourth quarter of 2017, prompting firms to cut selling prices last month by the most since the survey began in August 2009.”
Input price inflation fell to 53.8 in February as the initial impact of a tax and fuel price hike faded, while output price inflation turned negative with a reading of 47.6, a sign that companies might be discounting to keep market share in the face of weak consumer demand.
