Egypt’s non-oil private sector contracts sharply in April – PMI

Egypt’s non-oil private sector Purchasing Managers’ Index  (PMI) fell to 46.6 in April from 48.0 in March. The reading was the steepest contraction since January 2023 and pointed to annual GDP growth slowing to approximately 3.9 per cent.

According to the S&P Global report released on Tuesday, the Middle East conflict was the key driver of rising costs. Around 27 per cent of businesses reported higher input prices — the fastest rate of inflation in more than three years.

Firms raised selling prices at the sharpest rate since August 2024. New orders fell for the third consecutive month and at the most pronounced pace since March 2023. Weakness was evident across all sectors but particularly in manufacturing, wholesale, and retail.

Output dropped to its lowest since early 2023. Input shortages and shipping delays lengthened delivery times for the first time in 2026. Purchasing was cut and employment edged down modestly.

S&P Global warned that headline inflation — which had reached 15.2 per cent in March — may have further to run. Companies remained cautious on purchasing and hiring with a subdued outlook ahead. Business confidence saw a modest rebound from March’s record low.

Attribution: Amwal Al Ghad English