Dubai, UAE – Growth in the UAE’s non-oil private sector rose during February 2026 to its highest level in 12 months.
This is driven by accelerating production and new orders.
Supply chains improved further, supporting efforts to increase inventory.
While lower fuel prices helped contain price pressures for production supplies.
The UAE’s main purchasing managers’ index, owned by S&P Global, rose to 55 points in February from 54.9 in January.
It recorded its highest level in a year, and remained well above the 50-point threshold.
This indicates a strong recovery in non-oil producing business conditions.
Non-oil UAE companies continued to expand their activities at a significant pace last February.
The growth rate accelerated to its strongest level since April 2024.
The companies participating in the index study attributed the significant increase in production mainly to favorable demand conditions and the success of contracts.
In addition to targeted marketing efforts, and the growth of sectors such as construction, real estate, logistics, and technology.
This positive trend was further reinforced by a significant increase in new orders.
Data for February 2026 indicated a sharp increase that was only slightly lower than the high level recorded in the previous January.
Which was close to its highest level in about two years.
Several companies pointed to the contribution of increased tourism, the expansion of e-commerce channels, and the high demand for products related to artificial intelligence.
Efforts to increase staff numbers continued in February.
Staff numbers rose slightly, recording the largest increase since November 2025.
Non-oil-producing UAE companies also succeeded in increasing their inventory of production supplies purchases for the second month in a row, supported by another rapid improvement in supplier delivery dates.
Flexibility in supply lines
In turn, suppliers demonstrated greater flexibility in their supply lines and were able to ship products more quickly in response to customers’ demand-driven demands.
Strong demand rates continued to drive positive expectations for future activity.
Production expectations were strong for the next 12 months.
In addition, the Dubai Purchasing Managers’ Index showed that employment recorded its highest level in two years.
Companies highlighted the increase in new opportunities and projects.
It also contributed to increased demand, marketing activities, the adoption of artificial intelligence, population growth, and increased tourism.
Dubai’s non-oil producing companies reported increasing their efforts to increase the number of their employees in February, and the employment rate rose at a steady pace that was the fastest in two years.
In line with positive expectations for future activity.
