Dubai, UAE: Data from the UAE's Purchasing Managers' Index indicated strong expansion in business activity levels in the private non-oil sector in December. However, business confidence was impacted by rising cost pressures, with the latest data showing the largest increase in business expenses in over a year. The growth rate was not far from the high level seen in November, when companies highlighted receiving new customer orders, improving market conditions, and supportive local policies. As profit margins tightened, companies adopted a more cautious stance on hiring and continued to reduce their inventories of production inputs to manage costs.
