The Kingdom of Saudi Arabia’s non-oil and government activities grew 4.4 per cent and 3.6 per cent, respectively, during the second quarter of this year, state news agency (SPA) reported.
The Kingdom’s Gross Domestic Product (GDP) contracted by 0.4 per cent in the second quarter compared to the same period last year, attributed to an 8.5 percent decline in oil activities, according to data published by the General Authority for Statistics on Wednesday.
Saudi Arabia’s seasonally adjusted real gross domestic product grew 1.4 per cent in the second quarter of 2024 compared to the previous three months, driven by non-oil activities. The IMF says the Saudi economy grew 8.7 per cent last year, but projects that Saudi GDP growth will more than halve to 3.1 per cent, this year.
In March, Saudi Arabia’s Minister of Economy and Planning, Faisal Al-Ibrahim, stated that non-oil economic activity contributed 50 percent to the Kingdom’s GDP in 2023, reported Arab News.
The IMF reports that Saudi Arabia’s economy grew by 8.7 percent last year but projects a significant slowdown to 3.1 percent GDP growth this year.
In March, Saudi Arabia’s Minister of Economy and Planning, Faisal Al-Ibrahim, stated that non-oil economic activities contributed 50 percent to the Kingdom’s GDP in 2023, according to Arab News.
The Kingdom’s General Authority for Statistics (GASTAT) reported a 4.4 percent year-on-year expansion in non-oil activities for the second quarter.
The decline in oil activities is attributed to Saudi Arabia’s decision to cut crude output in alignment with the OPEC+ agreement. The Kingdom reduced its oil production by 500,000 barrels per day in April 2023, with this cut extended through December 2024.
