Egypt Non-Oil Private Sector Activity Hits 7-Month High

2026-09-03 04:23 By Mariene Camarillo 1 min. read

The S&P Global Egypt PMI rose to 49.6 in August 2026 from 46.8 in July, signaling the softest deterioration in operating conditions since January as the non-oil sector moved closer to stabilisation.

Output and new orders declined at slower rates, with the fall in new business the least marked since February amid signs of improving market activity.

Employment also increased for the first time since October 2025, with job creation reaching its second-fastest rate on record.

However, purchasing activity contracted at the sharpest pace in nearly three years, as material shortages, cash-flow constraints, delayed payments, and Strait of Hormuz disruptions weighed on buying activity.

Meanwhile, price pressures quickened for the first time since May, with both input costs and output charges rising at faster rates.

Despite the challenges, business confidence climbed to its highest level since June 2022, supported by expectations of new projects, tourism expansion and branch openings.



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Egypt Non-Oil Private Sector Activity Hits 7-Month High
The S&P Global Egypt PMI rose to 49.6 in August 2026 from 46.8 in July, signaling the softest deterioration in operating conditions since January as the non-oil sector moved closer to stabilisation. Output and new orders declined at slower rates, with the fall in new business the least marked since February amid signs of improving market activity. Employment also increased for the first time since October 2025, with job creation reaching its second-fastest rate on record. However, purchasing activity contracted at the sharpest pace in nearly three years, as material shortages, cash-flow constraints, delayed payments, and Strait of Hormuz disruptions weighed on buying activity. Meanwhile, price pressures quickened for the first time since May, with both input costs and output charges rising at faster rates. Despite the challenges, business confidence climbed to its highest level since June 2022, supported by expectations of new projects, tourism expansion and branch openings.
2026-09-03
Egypt Non-Oil Private Sector Downturn Eases
The S&P Global Egypt PMI rose to 46.8 in July 2026 from 46.0 in June, signaling a softer but still sharp contraction in the non-oil private sector. New orders fell for a seventh straight month amid weak demand, high prices, shipping delays, and fewer new projects, leading to a softer decline in output. Employment continued to fall, while backlogs of work rose at the second-fastest rate in nearly three years. Purchasing activity contracted at the sharpest pace since September 2023, prompting the first decline in input inventories in five months. In contrast, supply chain conditions improved for the first time since March as delivery times shortened amid easing Middle East disruptions. Input cost inflation also eased to a six-month low, while output price inflation slowed to a four-month low. Looking ahead, business confidence hit its highest level since June 2022, although optimism remained tied to regional geopolitical developments.
2026-08-04
Egypt Non-Oil Private Sector Activity Lowest Since 2023
The S&P Global Egypt PMI fell to 46.0 in June 2026 from 47.1 in May, signaling the sharpest contraction in the non-oil private sector in nearly three and a half years. Business conditions weakened as new orders fell at the fastest pace since November 2022, pressured by weak liquidity, supply disruptions, raw material shortages, and the Middle East conflict. Output, purchasing activity, and employment all contracted, although job losses eased slightly from May. Supply chain pressures remained elevated, with delivery times lengthening further due to shipping disruptions in the Strait of Hormuz, raw material shortages, and higher fuel costs. Meanwhile, input cost and output price inflation moderated from May's near-record highs, though fuel, raw material, and wage pressures remained significant. Looking ahead, business confidence stayed positive despite easing slightly from May, supported by expectations of reduced geopolitical disruptions and stronger government support.
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