UAE private sector growth slows as hiring stalls in April

The UAE’s non-oil private sector lost some growth momentum in April, with business conditions improving at the weakest pace in three months, according to a new survey.

Output, new orders and input stocks all rose more slowly, but the main drag on the sector was a stagnation in employment, said data from the Emirates NBD UAE Purchasing Managers’ Index (PMI).

It was only the second time that payroll numbers had failed to rise in the survey’s history. Meanwhile, cost pressures remained subdued and charges continued to fall. Greater competition was again cited as the main driver of lower tariffs.

The seasonally adjusted headline Emirates NBD UAE PMI posted 52.8 in April, down from March’s four-month high of 54.5. Although still consistent with a solid improvement in business conditions, the latest reading was only just above the near-four year low seen in January.

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