Economy

Saudi Arabia's economy has reached a new milestone with its non-oil sector revenues hitting an unprecedented $453 billion.The nation's economic diversification efforts have paid off, with the non-oil sector now accounting for half of the country's gross domestic product (GDP) in 2023, according to the Saudi ministry of economy and planning.Growth in exports, investments, and consumer spending have been the...

March witnessed the continuation of expansion within the non-oil private sectors of Saudi Arabia and the UAE, despite a slight deceleration. This was fueled by a substantial increase in new orders and output growth, maintaining the economic vitality of the two predominant economies in the Arab region.The seasonally adjusted Riyad Bank purchasing managers' index, an essential indicator of Saudi Arabia's...

In March, Saudi Arabia's non-oil private sector exhibited a robust growth surge, reaching a peak in output not seen in the past six months, as indicated by the nation's Purchasing Managers' Index (PMI). The PMI for the Kingdom registered at 57, marking a slight dip from February's 57.2, based on data released by the Riyad Bank Saudi Arabia PMI report...

Expansion in Saudi Arabia's non-oil private sector was driven by robust demand and the acquisition of new clients, resulting in softer cost pressures.The Riyad Bank Saudi Arabia Purchasing Managers' Index (PMI) for March was slightly lower at 57.0 compared to 57.2 in February, yet it remained significantly above the threshold of 50.0, indicating a growth in sector activity.March witnessed the...

A recent financial pact between Bangladesh and a Saudi financial institution is poised to fortify the energy stability of the South Asian nation while easing the strain on its foreign currency reserves.The Islamic Development Bank's International Islamic Trade Finance Corp. solidified a financial arrangement on March 25, granting $1.4 billion to the Bangladesh Petroleum Corp. with the goal of enhancing...

In a landmark achievement for Saudi Arabia, preliminary figures from the nation's Central Bank have unveiled a staggering increase in expenditures by overseas guests for the year 2023. The travel sector witnessed a record-breaking spend of SAR135 billion, the highest ever recorded in the country, showcasing an impressive 42.8% increase from the previous year.This exceptional rise in visitor spending is...

The Kingdom of Saudi Arabia is set to enhance its climate financing efforts through the introduction of the Green Finance Framework, a strategic move by the Ministry of Finance designed to accelerate the country's sustainable development and commitment to a net-zero emissions target by the year 2060, as reported by the Saudi Press Agency. This new framework is a significant...

The General Authority for Statistics in Saudi Arabia disclosed a significant 16% rise in net Foreign Direct Investment (FDI) flows for the fourth quarter of 2023. This robust growth translates to a monetary increase of over SAR13 billion, signaling a strong investor confidence in the Kingdom's economic prospects. During the same quarter, total FDI injected into Saudi Arabia's economy reached...

January 2024 witnessed a marginal uptick of 0.8 percent in Saudi Arabia's non-oil exports, including re-exports, in comparison to the previous year. However, when re-exports are removed from the equation, there was an 11.5 percent drop in non-oil exports despite a 42.6 percent surge in re-exports over the same timeframe. Additionally, there was a reported decrease in the country's total...

Saudi Arabia witnessed a modest enhancement in its non-oil export sector at the start of the year, with a 0.8 percent rise in January compared to the same period the year prior. As per the General Authority for Statistics, the non-oil sector's value, inclusive of re-exports, hit SR24 billion, or approximately $6.40 billion.Further insights reveal that non-oil trade made up...

The Islamic Trade Finance Corporation (ITFC) has announced a substantial financing agreement, committing a total of $1.4 billion to Bangladesh Petroleum Corporation. This strategic move is set to significantly bolster the energy infrastructure within Bangladesh.As an integral arm of the Islamic Development Bank, the ITFC is focusing its efforts on ensuring that this funding will directly contribute to the advancement...

In a pivotal virtual assembly, the Economic and Development Affairs Council recently scrutinized a suite of reports and pressing items on their agenda. A central topic was the Ministry of Economy and Planning's thorough briefing on both domestic and international economic progress, featuring in-depth examinations of the latest economic indicators. This briefing shed light on the anticipated trends and hurdles...

As Saudi Arabia embarks on its ambitious economic transformation plan dubbed 'Saudi Vision 2030', it has become clear that oil revenues alone are insufficient to fund the extensive investments that the initiative demands. To propel the diversification of its economy, the Kingdom is turning to the international debt market to support its grandiose projects, including the construction of the hyper-futuristic...

Saudi Arabia has announced a substantial financial boost for investors in its mining sector, providing a package that reaches almost SR685 million ($182 million) to stimulate financial engagement in mining exploration within the nation. The Industry and Mineral Resources Ministry unveiled the initiative that is set to propel support for mining exploration endeavors in the Kingdom. In partnership with the...

Historically the world's leading oil producer, Saudi Arabia has long been the go-to source for oil, supplying vast quantities to continents like Europe, Asia, Africa, and North America. However, earlier this year, the state-owned Saudi Aramco made the strategic decision to cease expanding its oil production. This move aligns with the kingdom's broader ambitions to diversify its revenue streams and...

In a significant move to promote the mining sector, the Saudi Ministry of Industry and Mineral Resources, together with the Ministry of Investment, has unveiled an incentive program for mineral exploration. This initiative, with an impressive fund of SAR685 million (equivalent to $182 million), aims to attract investment into mining explorations, which is a key component of the nation's economic...

Saudi Arabia's Transformation: A Non-Oil Economic SurgeSaudi Arabia, traditionally known for its pivotal role in the global oil market, has achieved a significant milestone in economic diversification. In 2023, the Kingdom's non-oil revenues reached a historic high, accounting for half of its Gross Domestic Product (GDP). The non-oil sector's robust performance, valued at 1.7 trillion Saudi Riyals (about 453 billion...

In a landmark achievement for Saudi Arabia, the nation's non-oil activities have reached an unprecedented milestone, constituting 50% of the overall real GDP in 2023, the highest proportion ever recorded. This data, drawn from the General Authority for Statistics and analyzed by the Ministry of Economy and Planning, underscores a vital shift in the country's economic profile. The value of...

The esteemed international agency for credit assessment, S&P Global Rating, has recently reaffirmed the sovereign credit ratings for Saudi Arabia, maintaining them at 'A/A-1' with a Stable Outlook. This confirmation reflects the kingdom's persistent efforts in advancing its economic and social reform initiatives, which are expected to bolster economic fortitude and foster the growth of non-oil sector revenues and development....

In 2023, Saudi Arabia's economy underwent a noteworthy transformation, with the non-oil segment achieving a historic feat by accounting for half of the nation's real GDP. An analysis by the Ministry of Economy and Planning, based on data from the General Authority for Statistics, revealed that this expansion was fueled by vibrant investment, consumer expenditure, and exports. This leap in...

Riyadh's Financial Boost: A report from Saudi Arabia's central bank indicates a noteworthy 11 percent year-on-year increase in lending, with totals reaching SR2.62 trillion ($700 billion) as of January. The expansion in lending activities is predominantly driven by a 33 percent surge in personal loans and a 67 percent rise in corporate loans, particularly emphasizing real estate and utility sectors....

The most recent analysis of the Middle East's economic climate anticipates a deceleration in the GCC's growth pace to 2.7 percent for the current year, a reduction from the previously estimated 3.9 percent. This shift is primarily attributed to ongoing reductions in oil output.Nonetheless, the analysis suggests that the non-energy sectors are poised to propel the economies of Saudi Arabia...

The AlUla Governorate is recognized for its flourishing agricultural sector, which significantly contributes to the region's economic growth. Local farms serve as a vital food source for both the inhabitants of AlUla and neighboring territories such as Madinah, Jeddah, Tabuk, Hail, and Riyadh. The rich harvests from these farms not only feed these populations but also spark interest in the...

The Saudi General Authority for Statistics recently published comprehensive data detailing the Kingdom's economic performance for the last quarter of 2023. The information revealed a 0.8% decrease in real GDP, an outcome primarily driven by a significant 9% shrinkage in the oil industry. This decline was a consequence of the production reductions agreed upon in the OPEC+ deal. Despite the...

The General Authority for Statistics in Saudi Arabia has recently transitioned to a new technique for computing the country's real Gross Domestic Product (GDP). This approach, known as the chain-linking methodology, has been employed to establish the economic figures for the fourth quarter of 2023 and the cumulative data for that year. With this shift, Saudi Arabia distinguishes itself as...

In 2023, Saudi Arabia's economy, the largest in the Arab world, saw a contraction of 0.8 percent from the previous year. This downturn was largely attributed to a significant reduction in the oil sector's performance, while in contrast, the non-oil sector experienced a 4.4 percent expansion.The oil industry witnessed a 9 percent decrease throughout the year. Conversely, the government sector...

The industrial landscape of Saudi Arabia experienced a nuanced start to the year, as evidenced by the latest figures released on the country's Industrial Production Index (IPI). In January, the IPI inched up by 0.3 percent, supported primarily by a slight uptick in mining and quarrying operations, according to the nation's statistical authority.Comparing month-on-month data, the manufacturing sector witnessed a...

Recent official statistics disclosed a sharp downturn in Saudi Arabia's real gross domestic product (GDP), which fell by 4.3 percent in the final quarter. This drop was primarily due to oil activity plummeting by 16.2 percent from the previous year, significantly influenced by the country's major crude production reductions.An annual overview by the General Authority for Statistics highlighted a 0.8...

The financial health of Saudi Arabia's economy is reportedly robust, according to statements made by the country's Finance Minister Mohammed Al-Jadaan. The minister indicated that the government is considering re-evaluating the levy imposed on expatriates' dependents, aiming to enhance the nation's attractiveness to skilled professionals.During a podcast discussion, concerns were addressed regarding the impact of the dependent fee on domestic...

The latest data from the General Authority for Statistics indicates a significant upswing in commerce between Saudi Arabia and its Gulf Cooperation Council (GCC) counterparts. In the report covering the fourth quarter of 2023, there's a notable 13% escalation in trade activity compared to the same timeframe the previous year. The trade figures soared by SAR6,363 billion, culminating in a...