Saudi Economy Surpasses Expectations With 1.3% Growth in 2024​

Saudi Arabia's economy experienced a growth of 1.3% in 2024, exceeding the Ministry of Finance's initial projection of 0.8%. This growth was predominantly driven by a 4.3% increase in non-oil activities, which effectively counterbalanced a 4.5% decline in the oil sector.

According to data from the General Authority for Statistics (GASTAT), the Gross Domestic Product (GDP) expanded by 4.5% in the fourth quarter of 2024, marking the fastest quarterly growth in two years. This surge is attributed to improved oil prices, which bolstered government revenues and spending.

The non-oil economy continued its rapid expansion, increasing by 4.7% in Q4 compared to 4.3% in Q3. Among the fastest-growing sectors were manufacturing (7.6%), electricity and utilities (7.4%), and wholesale, retail, and hospitality (6.9%). These sectors benefited from rising domestic consumption and a rebound in tourism.

Looking ahead, the Ministry of Finance forecasts GDP growth rates of 4.6% in 2025 and 4.7% by 2027, reflecting a positive economic outlook for Saudi Arabia.