Egypt’s purchasing managers’ index (PMI), for the non-oil sector, rose to 50.4 points in September 2020, up from the 49.4 points in August, Minister of Planning and Economic Development Hala El-Said announced on Monday.
It is the first time for the index to surpass the 50-point barrier since July 2019.
El-Said said that the PMI is a monthly economic indicator that is calculated from surveys of private sector companies that do not operate in the oil sector, reflecting the performance of about 400 private sector non-oil producing companies, including the industrial, construction, services, retail, and wholesale sectors.
The minister said that this indicator is considered an important economic measure, as companies, investors, and financial institutions rely on it to recognize the country’s degree of economic activity, particularly in the non-oil-producing private sector.
The minister added that the improved commercial conditions of Egypt’s non-oil-producing sector are due to the improvement in consumer demand and export sales.
She added that among the recent positive results of the overall index is the rise in the employment index, making it the highest it's been in 10 months.
"This indicates a start in the recovery from the effects of the coronavirus pandemic, as a result of the measures taken by the Egyptian state to deal with the crisis, which was to support economic activity, irregular employment, and the sectors most affected by the pandemic," according to El-Said.