Saudi Non-Oil PMI Stays in Growth at 53.1 in July 2026

Saudi Arabia's non-oil private sector kept growing in July 2026, as the country's Purchasing Managers' Index (PMI) held above the 50-point threshold that separates expansion from contraction. The reading came in at 53.1, easing only slightly from 53.3 in June, and marked the fourth consecutive month of expansion.

A PMI above 50 signals that overall non-oil business activity improved compared with the previous month. The July figure points to a solid improvement in business conditions, supported by continued growth in output and new orders, although both rose at a marginally slower pace than in June.

The index is built from questionnaires sent to purchasing managers across a range of industries, giving an early read on the health of the wider non-oil economy. Official national data platforms list the July value of 53.1 among the key indicators used to track this part of the economy.

Why it matters

The steady expansion follows a brief dip earlier in the year, when the index fell to 48.8 in March, a level that signals contraction. Activity then recovered into growth territory, reaching 53.3 in June and 53.1 in July.

The non-oil sector's resilience stands out against the broader economic picture. In the second quarter of 2026, non-oil activities grew 0.6% year-on-year even as total real GDP declined 4.8%, underlining the sector's role in cushioning the overall slowdown.

Business sentiment also remained upbeat. The Business Confidence Index stood at 56.5 in July, staying firmly in optimistic territory and reinforcing the growth signal from the PMI. For residents and business owners across the Kingdom, the continued expansion suggests steady demand and activity in the non-oil economy that supports jobs and everyday commerce.

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