The Emirates NBD Egypt Purchasing Managers’ Index (PMI) for the non-oil private sector weakened to 48.7 in September from 50.5 in August, putting it below the 50 mark that separates growth from contraction.
Egypt's private sector activity declined marginally in September for the first time in three months as demand weakened and output dropped, according to a new survey of companies.
Daniel Richards, MENA economist at Emirates NBD, said that “despite the two months of consecutive 50-plus readings in July and August, there remains some weakness in recovery”.
He said September’s reading was higher than the average of 47.9 seen since an International Monetary Fund reform program began in November 2016 and that the outlook remained positive.
Minister of Panning Hala el-Saeed said that within the targeted four years, a higher investment rate will be achieved to reach 25 percent.
She pointed out that the possibility of providing accurate and up-to-date data and information on the indicators of each governorate is currently being greatly improved, stressing that providing indicators at the governorate level enables decision-makers to plan with great flexibility.
This came during her meeting with a delegation of foreign investors. The minister reviewed the achievements of the economic reform program that was implemented in November 2016, resulting in an increase of the growth rate to 5.3 percent, and a decline in the unemployment rate to 9.9 percent.
She added that the government also focuses on the industrial sector on the medium term as a part of the sustainable development strategy and Egypt’s vision 2030, pointing that this sector is targeted to contribute to the growth rate by 20 percent during 2018/2019 and gradually improve.
