Employment Saudi jobs market buoyant as Egypt and Kuwait struggle By Gavin Gibbon March 4, 2025, 1:39 PM Reuters/Ahmed Yosri Saudi Arabia's Future Investment Initiative is one of its many efforts to increase employment. The kingdom's jobs market surged in February Saudi manufacturing and services jobs strong Egypt manufacturing struggling Kuwait business conditions improving Staffing levels in Saudi Arabia surged in February as companies prepare for growth opportunities ahead. But it was a different story in neighbouring Kuwait and Egypt where jobs were lost in the face of a slowdown in new orders, according to the latest business sentiment surveys. Employment numbers in Saudi Arabia increased at the quickest rate in 16 months in February. The manufacturing and services sector in particular experienced significant growth, according to the seasonally adjusted Riyad Bank Saudi Arabia Purchasing Managers’ Index (PMI), a monthly indicator of conditions in the non-oil economy. The index fell from a decade-high of 60.5 in January to 58.4 last month, but remains well above the 50.0 mark that separates economic growth from contraction. Despite an overall slowdown in new orders growth, Naif Al-Ghaith, chief economist at Riyad Bank, said confidence in future demand in Saudi Arabia remains high. “This was reflected in higher staffing levels, as companies expanded their workforce to meet increased workloads and business expectations,” he said. Egypt’s net foreign assets jump in January Oil revenues could trim Kuwait’s 2025 budget deficit Spending pushes Saudi fiscal deficit to $31bn in 2024 In Kuwait business conditions improved for the sixth consecutive month, although at 51.6 the index was down from 53.4 in January. Although new orders continued to rise, the slower pace of growth meant that Kuwaiti companies lowered staffing levels during February. This resulted in a drop in employment numbers for the first time in six months. Andrew Harker, economics director at S&P Global Market Intelligence said it could be a sign of “worries that the slowdown in new order growth has further to run”. In Egypt, which has been struggling with persistent inflation and currency devaluation, businesses face challenges in retaining staff and hiring new workers. Employment dropped for the third time in four months, according to the survey. The headline index declined from a 50-month high of 50.7 in January to 50.1 in February. David Owen, senior economist at S&P Global Market Intelligence, described the country’s employment sector as “mixed at best”, with the manufacturing sector in particular “struggling to secure new orders”.
