Dubai's business conditions hit two-year high in October on Expo 2020 boost

Dubai's non-oil economy continued to grow in October, with business conditions registering the sharpest improvement in two years, boosted by a strong rebound in new orders and Expo 2020 reviving tourism.

The seasonally adjusted IHS Markit Dubai Purchasing Managers' Index surged to 54.5 in October, from 51.5 in September, the highest level since October 2019. A reading above 50 indicates economic expansion while one below points to a contraction.

"Dubai began the fourth quarter of the year in a strong position, with PMI data signalling the fastest rise in new orders for two years as Expo 2020 brought increased client demand and tourist numbers," David Owen, an IHS Markit economist, said. "The initial surge in sales contributed to a sharp expansion in activity, suggesting that the economy is well on the way to recovering from the pandemic."