• Positive Sales Trend: Stabilizing economic conditions, easing price pressures, and improved demand prospects have led to an increase in sales volumes for Egypt’s non-oil private companies in June, marking the first positive trend since August 2021, as reported by the latest Purchasing Managers’ Index (PMI).
• PMI Improvement: The S&P Global Egypt PMI rose to 49.9 in June, up from May’s 49.6 and just below the 50.0 threshold that separates contraction from expansion, representing the highest reading in three years.
• Output and Costs: Output levels declined at the slowest pace in nearly three years, and the volume of input purchases increased for the first time since December 2021. Despite input-cost inflation reaching a three-month high, it remained moderate, leading to only a modest rise in selling prices, according to survey data.
Stabilizing economic conditions, easing price pressures, and improved demand prospects have led to an increase in sales volumes for Egypt’s non-oil private companies in June, marking the first positive trend since August 2021, according to the latest Purchasing Managers’ Index (PMI).
The S&P Global Egypt edged up to 49.9 in June, slightly than May’s 496 and just below the 50.0 mark that differentiates from contraction.
This June PMI reading was the highest in three years, indicating a potential economic uplift driven by the expanded $8 billion IMF loan program and a $35 billion cash infusion from the UAE Ras Al-Hekma deal in the first quarter.
Output levels declined at the slowest pace in nearly three years, while the volume of input purchases increased for the first time since December 2021. Although input-cost inflation picked up to a three-month high, it remained moderate, resulting in only a modest rise in selling prices, according to the survey data.
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