The Kingdom of Saudi Arabia’s flag
The seasonally adjusted Riyad Bank Saudi Arabia Purchasing Managers’ Index (PMI), formerly SP Global Saudi Arabia PMI, dropped to 58.4 points in February. 
This pullback was mainly due to a slowdown in new business growth after witnessing one of the fastest rates recorded at the beginning of the year. The index indicated that business conditions in the non-oil private sector have notably improved since the previous month.
This was confirmed by strong growth in customer sales and business activity. Improved market demand led to a sharp increase in employment levels, as corporates sought to expand operational capacity and prepare for growth opportunities, as optimism towards future activity rose to its strongest level since late 2023. Meanwhile, overall input cost pressures remained high and output prices rose further.
Survey participants pointed to resilient demand conditions, amid improved sales and gaining new customers, thus helping boost production across the non-oil sector. They also noted that increased tourism and improved marketing efforts drove growth. While production expansion slowed slightly, it remained at the highest level since mid-2023.
Riyad Bank Saudi Arabia PMI since 2023*
Month
Index (Points)
Change (Points)
Change (%)
Jan. 2023
58.2
+1.3
+2.3%
February
59.8
+1.6
+2.7%
March
58.7
(1.1)
(1.8%)
April
59.6
+0.9
+1.5%
May
58.5
(1.1)
(1.8%)
June
59.6
+1.1
+1.9%
July
57.7
(1.9)
(3.2%)
August
56.6
(1.1)
(1.9%)
September
57.2
+0.6
+1.1%
October
58.4
+1.2
+2.1%
November
57.5
(0.9)
(1.5%)
December
57.5
—
—
Jan. 2024
55.4
(2.1)
(3.7%)
February
57.2
+1.8
+3.2%
March
57.0
(0.2)
(0.3%)
April
57.0
—
—
May
56.4
(0.6)
(1.1%)
June
55.0
(1.4)
(2.5%)
July
54.4
(0.6)
(1.1%)
August
54.8
+0.4
+0.7%
September
56.3
+1.5
+2.7%
October
56.9
+0.6
+1.1%
November
59.0
+2.1
+3.7%
December
58.4
(0.6)
(1.0%)
Jan. 2025
60.5
+2.1
+3.6%
February
58.4
(2.1)
(3.5%)
The PMI is a weighted average of the following five sub-indices:
PMI Sub-Indices
Sub-index
Ratio (%)
New orders
30%
Production
25%
Employment
20%
Suppliers’ delivery times
15%
Stocks of purchases
10%
Total
100%
The Kingdom of Saudi Arabia’s flag
The seasonally adjusted Riyad Bank Saudi Arabia Purchasing Managers’ Index (PMI), formerly SP Global Saudi Arabia PMI, dropped to 58.4 points in February.
This pullback was mainly due to a slowdown in new business growth after witnessing one of the fastest rates recorded at the beginning of the year. The index indicated that business conditions in the non-oil private sector have notably improved since the previous month.
This was confirmed by strong growth in customer sales and business activity. Improved market demand led to a sharp increase in employment levels, as corporates sought to expand operational capacity and prepare for growth opportunities, as optimism towards future activity rose to its strongest level since late 2023. Meanwhile, overall input cost pressures remained high and output prices rose further.
Survey participants pointed to resilient demand conditions, amid improved sales and gaining new customers, thus helping boost production across the non-oil sector. They also noted that increased tourism and improved marketing efforts drove growth. While production expansion slowed slightly, it remained at the highest level since mid-2023.
Riyad Bank Saudi Arabia PMI since 2023*
Month
Index (Points)
Change (Points)
Change (%)
Jan. 2023
58.2
+1.3
+2.3%
February
59.8
+1.6
+2.7%
March
58.7
(1.1)
(1.8%)
April
59.6
+0.9
+1.5%
May
58.5
(1.1)
(1.8%)
June
59.6
+1.1
+1.9%
July
57.7
(1.9)
(3.2%)
August
56.6
(1.1)
(1.9%)
September
57.2
+0.6
+1.1%
October
58.4
+1.2
+2.1%
November
57.5
(0.9)
(1.5%)
December
57.5
—
—
Jan. 2024
55.4
(2.1)
(3.7%)
February
57.2
+1.8
+3.2%
March
57.0
(0.2)
(0.3%)
April
57.0
—
—
May
56.4
(0.6)
(1.1%)
June
55.0
(1.4)
(2.5%)
July
54.4
(0.6)
(1.1%)
August
54.8
+0.4
+0.7%
September
56.3
+1.5
+2.7%
October
56.9
+0.6
+1.1%
November
59.0
+2.1
+3.7%
December
58.4
(0.6)
(1.0%)
Jan. 2025
60.5
+2.1
+3.6%
February
58.4
(2.1)
(3.5%)
The PMI is a weighted average of the following five sub-indices:
PMI Sub-Indices
Sub-index
Ratio (%)
New orders
30%
Production
25%
Employment
20%
Suppliers’ delivery times
15%
Stocks of purchases
10%
Total
100%
