Saudi Arabia’s non-oil economy is projected to grow significantly, with rates of 4.8% in 2025 and 6.2% in 2026. This growth is attributed to strategic investments in human capital and increased private sector activity, as outlined by Faisal Al-Ibrahim, the Minister of Economy and Planning.
Speaking at the Davos Conference 2025 during a seminar titled “Future of Global Economic Growth,” Al-Ibrahim emphasized the importance of Saudi Arabia’s leadership in fostering economic diversification. The aim is to reduce dependency on oil by implementing careful planning and management.
The Kingdom is actively working to diversify its economic resources. It has the necessary assets and capabilities to enhance its industrial sector, making it more competitive in exports. This includes targeted incentives for non-oil exports.
Al-Ibrahim noted that these efforts align with financial reforms aimed at reducing reliance on oil, supporting the broader economic transformation goals of the Kingdom.
Moreover, the minister stressed the critical role of developing strong institutional frameworks and investing in human capital. These are seen as essential, long-term investments for sustainable growth.