Egypt's non-oil private sector recorded its strongest expansion in five years in November 2025, driven by rising output and new orders, while input cost pressures eased to an eight-month low, according to the latest S&P Global Egypt PMI data. The seasonally adjusted Egypt PMI rose to 51.1 in November from 49.2 in October, signalling the first improvement in non-oil operating conditions since February and the highest reading since October 2020. Historically, a PMI at this level corresponds to annual GDP growth exceeding 5 per cent. Surveyed companies reported growth across manufacturing, construction, and services, while wholesale and retail activity declined slightly. New business inflows increased after eight months of contraction, supported by both existing and new clients and softer price pressures. Despite stronger demand, firms held staffing levels steady, contributing to a rise in backlogs for the third consecutive month. Overall cost inflation slowed to its lowest level in eight months, aided by a stronger Egyptian pound against the US dollar, while average prices rose only marginally, the slowest increase in seven months. Expectations for future activity remained positive, though slightly weaker than the previous month, with firms citing stronger demand as a reason for cautious optimism. David Owen, Senior Economist at S&P Global Market Intelligence, noted that the PMI points to a strong end to 2025 for Egypt's non-oil sector, with GDP growth likely exceeding 5 per cent in the fourth quarter. Attribution: Amwal Al Ghad English Subediting: Y.Yasser Download
