Riyad Bank Saudi Arabia’s PMI edged down to 56.1 in February 2026 from 56.3 in January, signaling the softest improvement in non-oil business conditions in nine months. Output growth remained robust but lost pace, hitting a six-month low as competitive pressures and moderating international orders weighed on expansion. Meanwhile, the labour market showed notable strength. Staff numbers rose sharply, fueling a survey-record increase in wages as firms competed to retain and attract talent. Selling prices also accelerated, recording the joint-fastest uplift since May 2023. Sub-indices for domestic sales and new orders continued to rise strongly, supported by elevated customer demand, digital initiatives, and collaborative client projects. Order books expanded broadly, highlighting sustained domestic activity. Looking ahead, business confidence remained positive, with firms citing new client projects, stronger demand, and improving domestic economic conditions.
