Business conditions in Dubai saw another strong improvement in August, according to the Purchasing Managers’ Index (PMI) by S&P Global, which recorded 53.6 points in August 2025, up from 53.5 points in July, indicating a robust improvement in the non-oil private sector economy.

Companies expanded their output at the fastest pace in seven months, driven by increased client sales and project activity, according to firms participating in the index survey. Total demand also grew, although at a slower rate compared to July.

Additionally, data from the UAE PMI study indicated rising production growth and increased business confidence in August, despite a decline in demand.

The index—a seasonally adjusted composite designed to provide an accurate overview of operating conditions in the non-oil private sector economy—rose from 52.9 points in July to 53.3 points in August, remaining above the neutral 50-point mark, signaling an improvement in economic conditions.

The PMI increase was partly due to a sharp expansion in production levels during mid-Q3, with the fastest activity growth in six months, slightly above the long-term average for the index study.

Production expectations improved in August, with companies recording the highest confidence rate since last October, and many expressed hope that stable local economic conditions and strong client relationships will support growth in the coming year.