The Ministry of Economy and Planning has launched a leading indicator called the MEPX to monitor, track, and analyze economic indicators and data released by official authorities in the Kingdom, in order to forecast the business cycle of the private sector, assess the economic situation, and provide analysis to officials and decision-makers, enabling them to formulate effective economic policies in a timely manner.

The index consists of ten sub-indices using statistical tools capable of continuously forecasting cyclical fluctuations and turning points for the Kingdom’s private sector. These can be classified into four main categories: the consumer sector, the corporate sector, the financial sector, and the trade sector. This enables ministry specialists to gain deeper insight into the latest data, track the drivers of growth in the private sector, and project its future trajectory.

On this occasion, His Excellency Faisal bin Fadel Al-Ibrahim, Minister of Economy and Planning, said: “The first composite business cycle index (MEPX) represents an important step in our work to forecast the private sector’s business cycle and provide accurate and reliable data and statistics with full transparency.”

He added that the Kingdom is experiencing its fastest economic growth in a decade, so increased access to up-to-date data is crucial for policymakers supporting development, as we work to boost the private sector’s contribution to 65% of the Kingdom’s GDP by 2030.”

He added: “MEPX will provide economists, policymakers, and business leaders with more than just an analysis of emerging trends; but will also proactively forecast short- and medium-term growth to ensure we continue to make sustainable progress on our journey of economic and social transformation.”