The non-oil private sectors of the Arab world's three largest economies bounced back in September as movement restrictions eased and businesses continued to recover.
The seasonally-adjusted IHS Markit Saudi Arabia Purchasing Managers' Index – a composite gauge designed to give a single-figure snapshot of operating conditions in the non-oil private sector economy – rose to 50.7 after slipping to 48.8 in August. A reading above the neutral 50 level indicates an economic expansion, while a reading below the threshold points to a contraction.
Saudi Arabia's private sector economic growth, the first in seven months, was driven by a rise in output, new business and exports.
Firms saw a weaker rise in input costs during the month, as the impact of a rise in value-added tax (VAT) eased considerably since August. Output charges in September also rose more slowly, according to IHS Markit survey.
"Business activity in the Saudi Arabia non-oil private sector ticked up in September, supported by a return to sales growth as the economy started to find its footing after the Covid-19 lockdown," David Owen, an economist at IHS Markit, said. "Despite some businesses continuing to see a drag from ongoing restrictions, most companies saw market conditions improve."
The impact of a three-fold rise in VAT implemented in July, also "notably softened", after a sharp increase in prices and a dip in sales in August, while "cost inflation eased to just a marginal pace," Mr Owen said.
Supporting the non-oil economic expansion were positive readings for both the output and new orders sub-components of the PMI index. The increase, however, was marginal.
Panellists cited the loosening of Covid-19 restrictions among the reason for an upswing in demand that led to a rise in new work in September. The trend was supported by both an increase in foreign sales and rebound in domestic orders.
In line with the improvement in business conditions, firms in the kingdom were more optimistic of an increase in output over the coming year. Though the degree of confidence improved only slightly from August, it was the strongest seen for seven months.
The pandemic has upended global trade and severely disrupted the travel and tourism industry across the world. The health crisis tipped the global economy into the deepest recession since the Great Depression with the International Monetary Fund estimating global gross domestic product to shrink 4.9 per cent this year.
However, recent data suggests trade is bouncing back and some economies are recovering as business activity picks up with ease in travel restrictions.
The UAE headline PMI also jumped to 51 in September from 49.4 in August to the highest reading in 11 months. The overall lift in business conditions, marked a renewed expansion in the non-oil private sector of the country at the end of the third quarter.
The headline PMI posted above 50 for the third time since the introduction of coronavirus-related movement restrictions were enforced earlier in March.
Rising activity levels were supported by a solid upturn in new business, as companies noted a further rebound in consumer demand. Companies also reported higher export sales for only the second time in eight months.
"Higher demand was also supported by strong discounting efforts in September, the greatest since the end of 2019," Mr Owen said.
The inflow of new orders also led to a slower fall in private sector employment in September, the softest since May. Firms that lowered workforce numbers, however, said constraints on cash flow and business expenses still remain.
Egypt's non-oil private sector PMI rose to 50.4 in September from 49.4 in August, marking the first above-50 reading since July 2019.
Aiding the upturn was a third successive rise in new business, with the rate of sales growth accelerating to the strongest in over five years. Egyptian firms cited the loosening of Covid-19 restrictions among the reasons for a rise in market activity.
The reopening of the economy supported a rise in new orders and contracts, with export sales growing sharply.
"The latest Egypt PMI data offered more optimism for businesses," Mr Owen said. "This suggests the non-oil economy is seeing a modest turnaround after the devastating impact of the Covid-19 pandemic."
The economic improvement also led firms to ease back on job cutting in September, marking the softest drop in employment for 10 months.
At Eternity’s Gate
Director: Julian Schnabel
Starring: Willem Dafoe, Oscar Isaacs, Mads Mikkelsen
Three stars
Credit Score explained
What is a credit score?
In the UAE your credit score is a number generated by the Al Etihad Credit Bureau (AECB), which represents your credit worthiness – in other words, your risk of defaulting on any debt repayments. In this country, the number is between 300 and 900. A low score indicates a higher risk of default, while a high score indicates you are a lower risk.
Why is it important?
Financial institutions will use it to decide whether or not you are a credit risk. Those with better scores may also receive preferential interest rates or terms on products such as loans, credit cards and mortgages.
How is it calculated?
The AECB collects information on your payment behaviour from banks as well as utilitiy and telecoms providers.
How can I improve my score?
By paying your bills on time and not missing any repayments, particularly your loan, credit card and mortgage payments. It is also wise to limit the number of credit card and loan applications you make and to reduce your outstanding balances.
How do I know if my score is low or high?
By checking it. Visit one of AECB’s Customer Happiness Centres with an original and valid Emirates ID, passport copy and valid email address. Liv. customers can also access the score directly from the banking app.
How much does it cost?
A credit report costs Dh100 while a report with the score included costs Dh150. Those only wanting the credit score pay Dh60. VAT is payable on top.
Killing of Qassem Suleimani
SPECS
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Company%20Profile
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Community Shield info
Where, when and at what time Wembley Stadium in London on Sunday at 5pm (UAE time)
Arsenal line up (3-4-2-1) Petr Cech; Rob Holding, Per Mertesacker, Nacho Monreal; Hector Bellerin, Mohamed Elneny, Granit Xhaka, Alex Oxlade-Chamberlain; Alex Iwobi, Danny Welbeck; Alexandre Lacazette
Arsenal manager Arsene Wenger
Chelsea line up (3-4-2-1) Thibaut Courtois; Cesar Azpilicueta, David Luiz, Gary Cahill; Victor Moses, Cesc Fabregas, N'Golo Kante, Marcos Alonso; Willian, Pedro; Michy Batshuayi
Chelsea manager Antonio Conte
Referee Bobby Madley
F1 The Movie
Starring: Brad Pitt, Damson Idris, Kerry Condon, Javier Bardem
Director: Joseph Kosinski
Rating: 4/5
COMPANY%20PROFILE%20
%3Cp%3E%3Cstrong%3EName%3A%3C%2Fstrong%3E%20Haltia.ai%0D%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%202023%0D%3Cbr%3E%3Cstrong%3ECo-founders%3A%3C%2Fstrong%3E%20Arto%20Bendiken%20and%20Talal%20Thabet%0D%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Dubai%2C%20UAE%0D%3Cbr%3E%3Cstrong%3EIndustry%3A%3C%2Fstrong%3E%20AI%0D%3Cbr%3E%3Cstrong%3ENumber%20of%20employees%3A%3C%2Fstrong%3E%2041%0D%3Cbr%3E%3Cstrong%3EFunding%3A%3C%2Fstrong%3E%20About%20%241.7%20million%0D%3Cbr%3E%3Cstrong%3EInvestors%3A%3C%2Fstrong%3E%20Self%2C%20family%20and%20friends%26nbsp%3B%3C%2Fp%3E%0A
A MINECRAFT MOVIE
Director: Jared Hess
Starring: Jack Black, Jennifer Coolidge, Jason Momoa
Rating: 3/5
Dust and sand storms compared
Sand storm
- Particle size: Larger, heavier sand grains
- Visibility: Often dramatic with thick "walls" of sand
- Duration: Short-lived, typically localised
- Travel distance: Limited
- Source: Open desert areas with strong winds
Dust storm
- Particle size: Much finer, lightweight particles
- Visibility: Hazy skies but less intense
- Duration: Can linger for days
- Travel distance: Long-range, up to thousands of kilometres
- Source: Can be carried from distant regions
Basquiat in Abu Dhabi
One of Basquiat’s paintings, the vibrant Cabra (1981–82), now hangs in Louvre Abu Dhabi temporarily, on loan from the Guggenheim Abu Dhabi.
The latter museum is not open physically, but has assembled a collection and puts together a series of events called Talking Art, such as this discussion, moderated by writer Chaedria LaBouvier.
It's something of a Basquiat season in Abu Dhabi at the moment. Last week, The Radiant Child, a documentary on Basquiat was shown at Manarat Al Saadiyat, and tonight (April 18) the Guggenheim Abu Dhabi is throwing the re-creation of a party tonight, of the legendary Canal Zone party thrown in 1979, which epitomised the collaborative scene of the time. It was at Canal Zone that Basquiat met prominent members of the art world and moved from unknown graffiti artist into someone in the spotlight.
“We’ve invited local resident arists, we’ll have spray cans at the ready,” says curator Maisa Al Qassemi of the Guggenheim Abu Dhabi.
Guggenheim Abu Dhabi's Canal Zone Remix is at Manarat Al Saadiyat, Thursday April 18, from 8pm. Free entry to all. Basquiat's Cabra is on view at Louvre Abu Dhabi until October
MATCH INFO
Barcelona 2
Suarez (10'), Messi (52')
Real Madrid 2
Ronaldo (14'), Bale (72')
Terminator: Dark Fate
Director: Tim Miller
Starring: Arnold Schwarzenegger, Linda Hamilton, Mackenzie Davis
Rating: 3/5
Match info
Manchester City 3 (Jesus 22', 50', Sterling 69')
Everton 1 (Calvert-Lewin 65')
How England have scored their set-piece goals in Russia
Three Penalties
v Panama, Group Stage (Harry Kane)
v Panama, Group Stage (Kane)
v Colombia, Last 16 (Kane)
Four Corners
v Tunisia, Group Stage (Kane, via John Stones header, from Ashley Young corner)
v Tunisia, Group Stage (Kane, via Harry Maguire header, from Kieran Trippier corner)
v Panama, Group Stage (Stones, header, from Trippier corner)
v Sweden, Quarter-Final (Maguire, header, from Young corner)
One Free-Kick
v Panama, Group Stage (Stones, via Jordan Henderson, Kane header, and Raheem Sterling, from Tripper free-kick)
Our legal consultant
Name: Dr Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
