Egypt’s PMI slips to 49.2 in August as non-oil private sector weakness persists

Egypt’s Purchasing Managers’ Index (PMI) fell to 49.2 in August, down from 49.5 in July, remaining below the neutral 50 mark, according to the latest S&P Global report.

The data highlights that the non-oil private sector contracted for the sixth straight month, with muted demand continuing to weigh on overall business activity.

Firms noted a decline in output, driven by subdued demand and ongoing inflationary pressures. Still, the pace of contraction was reported to be less severe than historical averages.

The report also showed that businesses maintained a cautious approach to purchasing, with input buying volumes dropping for the sixth consecutive month, alongside a further reduction in inventories.

This slowdown in procurement contributed to faster supplier delivery times for the first time since March.

Amid the challenges, there was a slight improvement in employment, with workforce levels rising for a second consecutive month in August, following the first growth in nine months recorded in July.