FX.co ★ Saudi Non-Oil Private Sector Growth Hits 11-Year High

In October 2025, Riyad Bank's Saudi Arabia PMI experienced a notable rise, reaching 60.2, up from 57.8 in September. This increase indicates one of the most significant enhancements in non-oil private sector conditions since 2014. The growth was primarily fueled by substantial gains in new business ventures, output, and employment figures. Approximately half of the surveyed companies reported an increase in sales, driven by escalating domestic demand and a surge in foreign investments. Business activities saw significant expansion, bolstered by the fastest hiring rate in nearly 16 years, as firms expanded their capacity to accommodate the growing workload. Additionally, purchasing and inventory levels saw improvements, and suppliers managed shorter delivery times despite the increased demand. On the pricing front, companies encountered accelerated input cost inflation owing to rising wages and higher costs of imported materials. This led to the steepest rise in output charges since May 2023. Looking forward, business optimism remains buoyant, supported by continuous demand, ongoing projects, and confidence in the Kingdom's momentum for non-oil growth.