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FINANCIAL NEWS
UAE economy grows in January despite oil fall
04 Feb 2015
(MENAFN) Business activity growth in the UAE’s non-oil private sector hit a three-month high in January, a survey showed, indicating most of the economy is still showing no major impact from the plunge of oil prices, Emirates 24/7 reported.
The seasonally adjusted HSBC UAE Purchasing Managers’ Index, which measures the manufacturing and services sector, was 59.3 points last month against 58.4 in December. The 50-point mark separates growth from contraction in the survey of 400 firms.
“The pick-up in activity at the start of the year is encouraging, but we continue to expect activity to lose speed into 2015 as low oil prices and weaker demand from key export markets in the Gulf weigh on momentum,” said HSBC Middle East’s chief economist Simon Williams.
Output growth improved slightly in January while growth in new orders grew sharply to 67.9 points from 65.4 points.
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