Egypt Daily News – The Purchasing Managers’ Index (PMI) for Egypt recorded 49.2 points in March. The S&P Global Purchasing Managers’ Index (PMI), which measures activity in the non-oil private sector, recorded 49.2 points in March, down from 50.1 points in February 2025.
The report indicated a decline in operating conditions as the first quarter of 2025 came to an end. It noted that for the first time this year, non-oil-producing companies in Egypt experienced a decrease in business activity, primarily due to weak demand for new orders. Both domestic and international demand remained constrained, prompting companies to reduce their operations and spending. The report also showed a decline in total new orders, though at a marginally less severe pace than the historical average.
The decline below the neutral threshold of 50.0 signalled a mild deterioration in operating conditions as the first quarter of 2025 concluded. For the first time this year, non-oil companies in Egypt registered a fall in business activity, primarily driven by a weakening in new order intakes. Demand from local and international sources were both reportedly restrained, leading firms to scale back operations and spending.
Total new orders declined, albeit only at a marginal pace that was softer than the historical trend. One area that performed well in March was the construction sector, with detailed survey data showing robust growth in output and new work. The expansionary tone contrasted with a more subdued market environment elsewhere, particularly in the manufacturing and wholesale & retail segments.
Additionally, companies reported a reduction in workforce numbers, as weak demand and limited pressure on production capacities led to a decrease in labor force needs.
