DUBAI: Saudi Arabia’s non-oil private sector marginally grew in March but its employment index fell below the neutral 50-level for the first time in five years, a monthly survey of companies reported on Sunday. The seasonally-adjusted Purchasing Managers’ Index rose to 56.8 in March from 56.6 in February, versus a small decline in the employment sub-index to 49.8, Emirates NBD said in the report. A reading above 50 indicates expansion and below that contraction. But “the rebound in new orders and business output in recent months has not fed through to job growth, with private sector employment declining for only the third time in the series history last month,” said Khatija Haque, head of MENA research at Emirates NBD. The Saudi private sector struggled last year because of fuel price hikes, the introduction of a 5 percent value-added tax and higher fees for hiring foreign workers. News Desk
