Thursday, 31 July 2025

Saudi Economy Grows 3.9% in Q2 2025, Driven by Robust Non-Oil Sector

 

RIYADH: Saudi Arabia’s economy grew by 3.9% year-on-year in the second quarter of 2025, powered by a strong 4.7% growth in non-oil sectors, according to the General Authority for Statistics (GASTAT). The non-oil sector contributed the most to GDP, adding 2.7 percentage points, followed by oil activities at 0.9 points.

Seasonally adjusted GDP rose 2.1% from Q1, driven by the largest oil sector growth since 2021, up 5.6% this quarter. In contrast, government activities fell 0.8%.

Non-oil exports, including re-exports, increased to SR31.1 billion ($8.29 billion) in May — a 6% year-on-year rise. The UAE remained the top destination, followed by India, China, Bahrain, and Turkiye.

S&P Global forecasts average 3.5% GDP growth through 2028, driven by Vision 2030, rising tourism, and labor market expansion. Despite expected fiscal deficits, public investment and mega-events like Expo 2030 and FIFA 2034 are expected to sustain growth momentum.


0 comments:

Post a Comment