Saudi Private Sector Growth hits 11 Month High as Economy Adjusts to Reforms

Saudi Arabia’s non-oil private sector grew at its fastest rate for 11 months in November, Reuters reports, citing a monthly survey of companies.

The positive private sector growth figure is “a sign that the economy may finally be recovering from austerity measures” imposed at the start of 2018 as part of the Kingdom’s economic reform plans, which included fuel price hikes, the introduction of a 5 percent value-added tax and higher fees for hiring foreign workers.

The latest poll showed the seasonally adjusted Emirates NBD Saudi Arabia Purchasing Managers’ Index rose to 55.2 last month from 53.8 in October. A level above 50 indicates expansion.