عربي English Türkçe اردو فارسى
Logo
Latest News
Business

Saudi Non-Oil Sector Grows 4.9% in Q2, Exceeding Estimates

Data from the General Authority for Statistics (GASTAT) show a 0.3% contraction in real GDP in the second quarter (Asharq Al-Awsat)
Data from the General Authority for Statistics (GASTAT) show a 0.3% contraction in real GDP in the second quarter (Asharq Al-Awsat)
TT
TT

Saudi Non-Oil Sector Grows 4.9% in Q2, Exceeding Estimates

Data from the General Authority for Statistics (GASTAT) show a 0.3% contraction in real GDP in the second quarter (Asharq Al-Awsat)
Data from the General Authority for Statistics (GASTAT) show a 0.3% contraction in real GDP in the second quarter (Asharq Al-Awsat)

Saudi Arabia's non-oil economy grew by 4.9% year-on-year in the second quarter of 2024, beating the July estimate of 4.4%.

According to the General Authority for Statistics (GASTAT), this is the highest growth rate in a year, up from 3.4% in the first quarter of 2024 and 4.2% and 3.2% in the last two quarters of 2023.

The IMF forecasts that Saudi Arabia’s non-oil GDP growth will stay strong.

Its latest report says that smart economic policies, transformative reforms, and increased investment have driven this growth, pushing employment above pre-COVID levels. Continuing these efforts is key to maintaining growth and diversifying the economy.

The IMF also predicts that reform momentum will rise in 2025 with more investment, especially from the Public Investment Fund, which plans to boost its annual investments from $40 billion to $70 billion.

This is in preparation for major events like the 2027 AFC Asian Cup, the 2029 Winter Asian Games, and Expo 2030. Full execution of the national investment strategy could push non-oil GDP growth to 8%.

Saudi authorities project non-oil growth to stay at 4% in 2024 and are confident that Vision 2030 will help sustain this growth long-term.

The General Authority for Statistics reported a 0.3% decline in real GDP in the second quarter of 2024 compared to the same period last year, better than the 0.4% drop expected.

Compared to the first quarter of 2024, seasonally adjusted real GDP grew by 1.4%. Non-oil sectors grew 4.9% year-on-year and 2.1% quarter-on-quarter.

Oil sector activity fell 8.9% year-on-year, slightly worse than the July estimate of 8.5%, but rose 0.9% quarter-on-quarter.

Government activities grew 3.6% year-on-year and 2.3% quarter-on-quarter.

Most Viewed

 
 
Business

Significant Progress Announced in Development of Saudi AMAALA Luxury Tourism Destination

Inspired by the purity of the Red Sea, AMAALA is redefining the coastal lifestyle with spaces designed for deep connection to nature, to self, and to community. (SPA)
Inspired by the purity of the Red Sea, AMAALA is redefining the coastal lifestyle with spaces designed for deep connection to nature, to self, and to community. (SPA)
TT
TT

Significant Progress Announced in Development of Saudi AMAALA Luxury Tourism Destination

Inspired by the purity of the Red Sea, AMAALA is redefining the coastal lifestyle with spaces designed for deep connection to nature, to self, and to community. (SPA)
Inspired by the purity of the Red Sea, AMAALA is redefining the coastal lifestyle with spaces designed for deep connection to nature, to self, and to community. (SPA)

Saudi Arabia’s Red Sea Global (RSG), the developer behind the regenerative tourism destinations AMAALA and The Red Sea, said on Sunday it continues to make substantial progress in the ongoing development of AMAALA – a new luxury destination with wellness at its core, that empowers people to live longer, better lives.

Inspired by the purity of the Red Sea, AMAALA is redefining the coastal lifestyle with spaces designed for deep connection—to nature, to self, and to community. From medical and integrative wellness and sun-drenched adventure to world-class art and transformative events, AMAALA seamlessly integrates meaningful spaces for people and the planet to flourish, said RSG in a statement.

“We have achieved remarkable progress across every aspect of AMAALA, from our signature resorts and immersive experiences to essential utilities and infrastructure. Our unwavering focus is on infusing sustainability and regenerative principles into every facet of development,” said RSG Group CEO John Pagano.

“Once complete, AMAALA will present an extraordinary collection of assets and experiences that will elevate wellness, lifestyle, and human connection," he added.

To date, RSG has awarded over 600 contracts on AMAALA worth nearly SAR23 billion ($6.13bn) to world-leading partners. These partners share RSG's ambition to co-create luxury and wellness destinations that are developed in line with responsible development practices, prioritizing regenerative initiatives and collaboration with local communities.

As development advances, a number of key areas of AMAALA are moving toward completion, each one bringing the destination closer to welcoming guests.

At Triple Bay Marina Village, the Equinox Resort is now topped out, and concrete structure work on the Village Boutique Hotel's main building, condos and villas is nearing completion. This bustling hub will soon offer guests a haven of scenic boardwalks, waterfront restaurants, luxurious boutiques and well-known retailers, plus a vibrant year-round events program, all set against the breathtaking backdrop of the Red Sea.

At the Marina: flooding of the marina basin was complete at the end of 2023, and contracts for the floating pontoons and fixed decks have been awarded as RSG begins putting the final touches on this stunning central feature.

At AMAALA Yacht Club, all construction contracts have been awarded, concrete works are close to completion, and structural steel and MEP works have been started.

At Wellness Core, superstructures are present on 80% of the 220 buildings within this zone. Including world-leading wellness resorts such as Jayasom and Clinique La Prairie, guests here will discover an environment where they can focus on mental, physical, and energetic regeneration.

In another significant development, the Ministry of Health, earlier this year, approved the design of the AMAALA Hospital. The hospital will provide healthcare services for residents and visitors to the 4,200 km2 destination.

Once complete, AMAALA will feature close to 4,000 hotel rooms across 30 hotels as well as 1,200 luxury villas, apartments, and estate homes. It will also be supported by high-end retail, fine dining, wellness, and recreational facilities. AMAALA will be powered entirely by solar energy, saving the equivalent of nearly half a million tons of CO2 emissions every year.