New export orders continue to grow despite poor global conditions, says HSBC
The UAE’s purchasing managers index (PMI) rose half a point in February, indicating that the Middle East’s second largest economy is expanding at an increasing rate.
“New export orders also continue to accumulate despite still poor global conditions, a reflection, we feel, of the pivotal role that regional demand plays in the UAE’s goods and services trade profile,” says Simon Williams, HSBC Middle East economist.
The UAE’s PMI has recovered slowly from a dip in the second half of 2011, but has remained above 50 – the level that represents flat growth – since the start of the decade.
The PMI in the region’s largest economy, Saudi Arabia also expanded by half a point, hitting 58.5 for February.
The kingdom’s expansion is being driven by non-oil industries and robust growth in domestic demand, HSBC said.