The UAE’s non-oil sector ended November on a strong note, with growth in business activity, hiring, and new orders reaching their highest levels in almost a year. According to the latest S&P Global PMI report, the UAE PMI rose to 54.8, showing the fastest improvement in operating conditions in eleven months — a clear sign that demand is rising and businesses are confident as we move toward 2026.
Stronger market conditions, better products, and new technology helped companies attract more clients. New orders grew at the quickest pace since January, with many businesses winning bigger contracts and expanding into new markets to reduce dependence on older sectors.
Production also picked up speed. Almost one-third of companies said their output increased since October, marking one of the fastest growth periods seen in more than a year and a half. With rising workloads came more pressure on capacity, pushing companies to hire more workers. Employment reached its strongest level since May 2024, signalling a clear recovery in labour demand. Wages also rose sharply as companies competed for skilled talent, leading to the biggest increase in staff costs since 2018.
To manage expenses, many firms raised selling prices slightly, but business confidence remained high. Over 13% of companies expect stronger growth in 2026, supported by healthy order books and a positive business environment.
Dubai continued to outperform the nation. The emirate’s non-oil PMI held steady at 54.5, showing one of the fastest expansions since January. Businesses reported higher sales, stronger customer demand, and increased activity across retail, travel, real estate, and professional services. Dubai’s job market also gained momentum, with staffing levels rising at the quickest pace in 18 months.
Recruitment experts note rising hiring in tech, construction, hospitality, and financial services heading into 2026. Dubai’s growing population — supported by strong expat inflows and new business registrations — is boosting demand across logistics, services, and consumer-focused industries.
Although input stocks in Dubai fell for the first time since August, supply chains improved with faster delivery times. Rising salary pressures did push costs higher, leading companies to adjust their selling prices, but overall business sentiment stayed positive.
Analysts say the UAE is closing 2025 with strong momentum and entering 2026 with ideal conditions for more non-oil growth. Tourism, real estate, trade, and ongoing diversification continue to support the economy, with non-oil GDP expected to grow around 4.5–5% in 2025.
Economists predict this positive trend will continue into early 2026. With rising jobs, strong order books, and expanding business pipelines, the UAE remains one of the region’s most dynamic and fast-growing private-sector hubs.
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Editor-at-Large
A passionate writer in the lubricant industry, Awais Iqbal has been covering oils, greases, and industrial fluids since the start of his career. At 25, he’s already written for blogs, catalogs, and brand guides across the UAE. Awais’s insights help companies connect with their audience, and his clear, helpful writing style is trusted by brands in the region.
