Cairo – Mubasher: Egypt's non-oil private sector witnessed a further deterioration in business conditions during June 2025, the latest S&P Global PMI data showed.

The headline seasonally adjusted Purchasing Managers’ Index (PMI) dropped to 48.8 from 49.5 last May.

The report highlighted contractions in output, driven by weaker demand and a sharp reduction in purchasing activity, which saw its steepest drop in 11 months.

On the other hand, input cost pressures softened, leading to a slower rise in output prices and offering some relief to businesses facing inflationary pressures.

Employment in the non-oil sector also registered a decline for the fifth month running, though the rate of job shedding was fractional.

Companies expressed limited optimism towards future output, with confidence slipping to a record low.

David Owen, Senior Economist at S&P Global Market Intelligence, said: "Although rates of contraction accelerated from the prior survey, they remained softer than their respective historic trends.”

Owen explained: “Nevertheless, a faster drop in input purchases combined with stalling hiring activity suggests that firms expect demand to remain low and are thereby looking to make cost savings.”

“Overall expectations for future activity were the lowest ever recorded in June, with the respective index having hovered close to all-time lows in 2025 so far,” he noted.