Saudi Economy Heads Towards New Stage to Face Global Changes

King Salman delivers his speech on Wednesday. (SPA)
King Salman delivers his speech on Wednesday. (SPA)
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Saudi Economy Heads Towards New Stage to Face Global Changes

King Salman delivers his speech on Wednesday. (SPA)
King Salman delivers his speech on Wednesday. (SPA)

Following Custodian of the Two Holy Mosques King Salman bin Abdulaziz’s announcement of the start of the second phase of the Kingdom’s Vision 2030, experts told Asharq Al-Awsat that the coming period would witness great development leaps in all sectors.

According to the experts, the Saudi economy has proven its strength during the coronavirus pandemic, which has cast a shadow over all developed countries.

They noted in this regard that the Kingdom continued to provide initiatives to ease the burdens on the national economy and the private sector in particular.

On Wednesday, King Salman inaugurated the works of the second year of the eighth session of the Saudi Shura Council, pointing to the start of the second phase of the Saudi Vision 2030, which seeks to create a solid and diversified economy that faces global changes.

King Salman stressed that the national investment strategy launched by Crown Prince Mohammed bin Salman on Oct. 11 was one of the important tributaries to achieve the objectives of the Kingdom’s Vision. He added that investments exceeding 12 trillion riyals (USD 3.2 trillion) would be pumped into the local economy until 2030.

In this regard, Minister of Municipal and Rural Affairs and Housing Majid Al-Hogail stated that King Salman's speech before the Shura Council reflected his keenness on the well-being and interests of the Kingdom’s citizens and residents.

Chairman of the General Authority of Civil Aviation Abdulaziz Al-Duailej stated that King Salman’s speech underlined the “determination to achieve the interests of the citizens and residents, and to bolster security, stability, prosperity in the Kingdom.”

In remarks to Asharq Al-Awsat, economic expert Abdul Rahman Al-Jubeiry said King Salman's remarks “embodied Saudi Arabia’s pivotal role at the regional and international levels in all political, economic and development fields...”

Head of the Saudi Center for Governance, Nasser Al-Sahli told Asharq Al-Awsat that the Custodian of the Two Holy Mosques announced the completion of the first phase of Vision 2030 and the launch of the next stage to create a diversified and solid national economy that is abreast with global changes.

The Saudi private sector is witnessing a qualitative leap in terms of regulations and legislation that contribute to the growth of investments and attract foreign capital, Al-Sahli said, adding that this would have a positive impact on the gross domestic product and the achievement of the goals of Vision 2030.



Saudi Arabia Raises its Non-Oil Economic Growth Forecast to 6.2% in 2026

 A view of a logo during the 54th annual meeting of the World Economic Forum, in Davos, Switzerland, January 19, 2024. (Reuters)
A view of a logo during the 54th annual meeting of the World Economic Forum, in Davos, Switzerland, January 19, 2024. (Reuters)
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Saudi Arabia Raises its Non-Oil Economic Growth Forecast to 6.2% in 2026

 A view of a logo during the 54th annual meeting of the World Economic Forum, in Davos, Switzerland, January 19, 2024. (Reuters)
A view of a logo during the 54th annual meeting of the World Economic Forum, in Davos, Switzerland, January 19, 2024. (Reuters)

Saudi Arabia has raised its forecast for non-oil economic growth in 2026 to 6.2%, marking a jump from previous estimates of 5%.

Saudi Minister of Economy and Planning Faisal Alibrahim revealed that the Kingdom is targeting 4.8% non-oil economic growth in 2024, increasing to 6.2% by 2026, while emphasizing the long-term importance of investing in human capital.

Speaking during a panel discussion titled “The Future of Growth” at the World Economic Forum 2025 in Davos, Alibrahim stated that economic transformation and sustainable growth require bold, inclusive leadership and a long-term vision. He cited Saudi Arabia’s Vision 2030 as a model for reducing dependency on oil and diversifying investment portfolios.

Global economic growth rates currently stand at 3.2–3.3%, significantly below the historical average of 4%, he noted.

He stressed the importance of building institutional capacities and investing in human capital as foundational elements for sustainable economic growth, emphasizing that these factors are essential for any successful economic strategy.

On US economic policies with Donald Trump returning for a second term as president, the minister stated they would not have an immediate impact on the global economy, as they involve long-term restructuring. He added that Saudi Arabia maintains strong relations with the United States.

Saudi Finance Minister Mohammed Al-Jadaan reiterated the need to improve global methodologies for measuring gross national income (GNI) to better reflect the realities of emerging economies. He emphasized that enhancing measurement frameworks would improve the efficiency of international institutions, support sustainable development in emerging markets, and contribute to global economic equity.

Meanwhile, Saudi Tourism Minister Ahmed Al-Khateeb outlined plans to transform Riyadh into a global business hub by hosting around 25 major international conferences, including the Future Investment Initiative and the LEAP Technology Conference.

Al-Khateeb also announced the launch of the largest travel and tourism event of its kind, set to take place in November. He invited global stakeholders to participate, describing the forum as a significant attraction for the international tourism sector.

Speaking during a panel discussion titled “The Role of Tourism and Travel in Building Trust” at Davos, Al-Khateeb highlighted the rapid growth of Saudi Arabia’s travel and tourism sector, which outpaced global growth rates last year with an increase of over 70%, the highest among G20 nations.

This growth, he explained, is linked to Saudi Arabia’s efforts to open its borders to encourage tourism, a key part of Vision 2030, which aims to diversify the Kingdom’s economy.

The minister noted that Saudi Arabia offers a wide range of attractions, from the scenic mountains of the south to the Red Sea coastline in the west. He emphasized that the Kingdom is investing in human capital to strengthen the sector, pointing to the ambition of young Saudis eager to join the tourism industry.