Saudi Arabia’s non-oil sectors grew by 2.8 per cent

The growth aligns with Saudi Vision 2030

Dubai: Saudi Arabia's real gross domestic product (GDP) increased by 2.8 per cent in the third quarter of this year compared to the same period in 2023, fuelled by growth in non-oil sectors.

Real GDP is an inflation-adjusted measure of the value of all goods and services produced in an economy.

The General Authority for Statistics reported that the non-oil sector expanded by 4.2 per cent year on year in the third quarter, aligning with the Vision 2030 initiative aimed at diversifying the economy away from oil dependence, as reported by Saudi news outlet Arab News.

The data also indicated a 3.1 per cent rise in government activities year on year, while oil-related activities experienced modest growth of 0.3 per cent. On a quarterly basis, Saudi Arabia's seasonally adjusted real GDP rose by 0.8 per cent in the third quarter compared to the second quarter.

Earlier this month, the International Monetary Fund (IMF) projected that Saudi Arabia's economy will grow by 1.5 per cent in 2024 and 4.6 per cent in 2025, underscoring the country’s economic resilience.

The World Bank echoed this optimism, forecasting a growth of 1.6 per cent for this year and an acceleration to 4.9 per cent in 2025.

These projections from the IMF and World Bank surpass Saudi Arabia's own pre-budget estimate, which anticipated a GDP growth of 0.8 per cent in 2024, driven by a 3.7 per cent increase in non-oil activities.