Egypt’s Non-Oil Private Sector Expands for Second Consecutive Month

AFRICAN BUSINESS AND ECONOMYMarch 6, 2025 at 10:38 AM UTC

TLDR

Egypt’s non-oil private sector maintained its upward momentum in February 2025
The S&P Global Purchasing Managers’ Index (PMI) recording 50.1 points
That marks the first time in over four years that business conditions have improved in back-to-back months

Egypt’s non-oil private sector maintained its upward momentum in February 2025, with the S&P Global Purchasing Managers’ Index (PMI) recording 50.1 points, slightly lower than January’s 50.7 points, but still above the neutral 50-mark, indicating continued expansion.

The latest data confirms a second consecutive month of growth, marking the first time in over four years that business conditions have improved in back-to-back months.

According to the report, customer demand continued to recover, supporting stable business activity in February. Input cost pressures eased slightly compared to 2024, while selling prices rose moderately, as firms limited cost pass-throughs to maintain demand.

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Key Takeaways

The Egyptian economy is showing early signs of stabilization, with rising demand supporting business confidence. The improvement comes after a challenging period of inflation and currency pressures, which previously weighed on private sector performance. A sustained recovery in customer spending and eased cost pressures could strengthen investment sentiment and drive stronger economic activity in 2025. However, businesses will likely remain cautious, closely monitoring inflation trends and policy measures affecting the broader economic environment.

Egypt

Economy

S&P

S&P Global

PMI

Purchasing Managers’ Index