Keeping in line with Saudi Vision 2030 goals, the GDP of Saudi Arabia is witnessing consistent growth. The total GDP of Saudi Arabia rose by 1.3 percent in the first quarter of 2024 compared to the previous quarter. This increase is a result of the rise in GDP of both the oil and non-oil sectors, which increased by 2.4 percent and 0.5 percent respectively.
Saudi’s General Authority for Statistics (GASTAT) revealed that even though the real GDP of Saudi Arabia increased by 1.3% in Q1 2024 compared to the previous quarter, there has been a decrease in real GDP compared to Q1 2023. This is mostly due to the fall in oil activities which reduced by 10.8% year-on-year in Q1.
The good news is that non-oil activities marked a 2.8% year-on-year increase in the first quarter while government activities increased by 2% for the same period. The Kingdom of Saudi Arabia has been actively supporting diversification and investment in non-oil sectors in line with its national development program Saudi Vision 2030.
Saudi has reduced its oil output by 500,000 barrels per day since April 2023 after reaching an agreement with the Organization of the Petroleum Exporting Countries and its allies (OPEC+) to retain market price stability.
The Kingdom’s non-oil activities are playing a major part in the nation’s GDP increase. In 2023, Saudi’s non-oil sector grew by 4.4% compared to the previous year. The share of non-oil exports in Saudi’s total exports has also been increasing. China, India and Japan are the Kingdom’s largest trading partners.
