[ad_1]
The emirate’s non-oil private sector is expanding steadily.
A new survey released on Monday showed that Dubai’s non-oil private sector expanded at the fastest rate in a year, employment growth rose to its highest level in 20 months in July, and new corporate orders also increased.
The IHS Markit Dubai Purchasing Managers Index (PMI), which covers industries such as travel and tourism, wholesale and retail, and construction, rose from 51.0 in June to 53.2 in July. This is the second fastest improvement since November 2019.
The survey results show that non-oil companies usually increase sales teams in response to the increasing number of customers. Employment in wholesale and retail enterprises has increased again, while growth in tourism and construction has accelerated.
The rise in the index was due to a faster rise in output levels at the beginning of the third quarter. Industry data shows that the output growth of travel and tourism companies has seen the most significant improvement since June, and the wholesale and retail and construction industries have also seen faster expansion.
“The growth of Dubai’s non-oil economy accelerated again in July, thanks to an increase in the number of customers, which boosted sales in the travel and tourism and wholesale and retail sectors. This is also a key driver of employment, as companies often mention recruitment Sales staff, thus creating the fastest job opportunities since November 2019,” said David Irwin, economist at IHS Markit.
“Businesses will hope to build on the economic recovery for the rest of this year. The overall PMI in July was 53.2, the second highest in 20 months, further ensuring that the economy is moving in the right direction,” Irving said.
Anish Mehta, the former chairman of the Dubai Chapter of the Institute of Chartered Accountants of India (ICAI), said that the results of this survey are very convincing and not surprising at all, because Dubai’s economic development is recovering.
“All of this is possible because the supportive macroeconomic policies of the Dubai government have achieved sustained and inclusive growth, which has led to productive and decent employment. This also helps promote the social well-being of residents. In my opinion In the future, 3i-investment, innovation, and inclusiveness-have led to higher employment. Employment growth is the main driving force of economic growth and development. Employers produce goods and services, then receive wages and salaries, and then they can It is used to purchase goods produced and services provided,” he said.
Chartered House CEO Anurag Chaturvedi stated that the UAE is on a growth trajectory due to its forward-looking policies and measures to limit Covid-19 infection.
“The flexibility of restrictions on Covid-19 has improved economic activity, thereby increasing per capita spending on lifestyle and fast-moving consumer goods. This has led to an increase in employment in healthcare, real estate, retail, hotels, logistics and e-commerce,” he said .
In addition, the opening of commercial activities and the increase in occupancy rates of entertainment facilities have also provided much-needed impetus. “Considering the global inflow of the World Expo, most companies in the UAE expect their business activities to increase by 15-20% in the next six months.”
IHS Markit’s survey results show that after the impact of Covid-19, companies often point to increased demand and improved economic conditions.
“The volume of new orders has grown at the fastest rate in three months, and it has also exceeded the growth rate of the entire 16 months before April. The level of work completed has reached its maximum level,” it said.
– waheedabbas@khaleejtimes.com
Wahid Abbas
[ad_2]
Source link