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Saudi GDP Expected to Grow to $895 Bln in 2025

Saudi GDP Expected to Grow to $895 Bln in 2025

Thursday, 21 April, 2022 - 09:30
An economic indicator that expects Saudi GDP to continue growing in coming years (Asharq Al-Awsat)

A Saudi economic indicator announced on Wednesday its estimates that the Kingdom's GDP will reach SAR 3 trillion ($895 billion) in 2025, emphasizing the balanced growth of the national economy during the last period.

The index, run by the Research and Information Center at the Chamber of Commerce and Industry in Riyadh, was based on several vital pillars that contributed to real GDP growth in 2021.

Those pillars center around the Kingdom’s free economy policy, its active and positive role that has a global impact, Saudi support and stimulation of local and foreign investment, and the Kingdom’s Vision 2030 with its programs and strategic goals.

According to the Riyadh Chamber index, the Kingdom's GDP ranked 17th among the G20 countries by about $792 billion in 2019.

The Organization for Economic Cooperation and Development expected the Kingdom's GDP growth in 2022 at a rate of 3.9%.

Moreover, the index highlighted that a group of main activities and sectors had contributed to the diversification of the Saudi non-oil economy.

Those sectors include trade, industry, transportation, mining and quarrying, finance and insurance, contractors, and collective, social, and personal services.

The index pointed to a significant increase in the contribution of the private sector to the Saudi GDP at constant prices to reach 43 % in 2021, compared to 41.8 % in 2020.

Regarding the most important economic sectors and their role in diversifying the sources of GDP, the index stated that the activities of crude oil and natural gas achieved 35.3% of contribution to real GDP growth.

The index confirmed that the upward trend in the growth rates of non-oil sectors is a result of the establishment of the objectives of Kingdom’s Vision 2030, and it also indicates the strength of the Saudi economy and the speed of its recovery in order to proceed with achieving aspirations and sustainable growth, especially after the coronavirus pandemic.

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