Managers in procurement in the private sector of the UAE observe an increase in the unemployment rate at the beginning of the second quarter of the current year. The index of business activity in the sector of non-manufacturing companies, represented by S&P Global, amounted to 54 points in April, unchanged compared to March. This indicates a noticeable improvement in working conditions. The number of employees in various economic sectors, excluding oil, has grown at the highest rate in 11 months. Companies participating in the survey explained the increase in the number of employees by rising demand in processing non-manufacturing tasks, which, according to this study, will increase starting in early 2024. In April, there was also a decrease in the volumes of non-manufacturing work to the lowest level in half a year. Companies noted a sharp increase in the total volume of new orders, as well as an accelerated growth rate since March. They noted an increase in local clients and a significant rise in commercial activity. It should be noted that equipment procurement for production in non-manufacturing companies also significantly increased. The data from the studies indicate a major improvement in the productivity of suppliers at the beginning of the second quarter: delivery times shortened faster than in August of the previous year. Companies associate this primarily with the intensification of suppliers' capabilities due to increased demand. They are also confident that flexible sales channels and market conditions will support activity in the future. Trust in companies has been growing for the third consecutive month and is considered the highest since early 2025. According to the latest data from the study conducted in Dubai, employment rose in April, following a slight decrease recorded in March. Companies, in general, are striving to increase their production capacity.
