Riyadh, Saudi Arabia – Saudi Arabia’s economy has broken through the trillion-dollar barrier, as reported by the Saudi Chambers of Commerce on the occasion of the nation’s 93rd National Day.
The Gross Domestic Product (GDP) of Saudi Arabia reached SR4.155 trillion ($1.7 trillion), marking its entry into the exclusive club of trillion-dollar economies. The milestone was achieved ahead of the state’s 2025 goals, accompanied by a remarkable growth rate of 8.7%, the highest among G20 nations.
Saudi Arabia now ranks 17th in global economic rankings and 17th out of 64 countries for global economic competitiveness, according to the annual Global Competitiveness Report by the International Institute for Management Development (IMD). The country also ranks second globally in the growth rate of international tourists and 51st in the Global Innovation Index. The Saudi economy’s integration into the global economy has increased to 63.1%.
The stellar economic performance is primarily attributed to robust productive capabilities, resulting in a self-sufficiency rate of 81.2% and an increased investment rate of 27.3%. These developments have boosted confidence in the Saudi economy, leading to an increase in trust in the Saudi riyal, with 67.7% of total savings now held in the local currency, up from 66.5% in 2021.
The Saudi private sector continues to be a driving force in the nation’s development and the achievement of Vision 2030 goals. The private sector’s GDP reached SR1.634 trillion ($0.43 trillion), contributing 41% to the overall GDP with a growth rate of 5.3%. This contribution remains steady due to significant growth in the oil sector, which expanded at a rate exceeding 15%.Â
Non-governmental investments reached SR907.5 billion ($242 billion), growing by 32.6%, and accounted for approximately 87.3% of total fixed investments. The private sector also played a critical role in employment, with the number of private sector employees increasing from 8.084 million in 2021 to 9.422 million in 2022, a growth rate of 16.6%.
In line with localization efforts, the number of Saudi employees in the private sector rose from 1.910 million in 2021 to 2.195 million in 2022, a growth rate of 14.9%, resulting in a 58.2% overall Saudi workforce participation in the private sector.
The report stresses the success of Saudi policies aimed at diversifying the economic base and promoting Saudi exports in global markets. Exports of goods and services surged by 54.4%, with the export capacity of the Saudi economy increasing from 33% to 39.3% of GDP. The capacity of exports to cover imports of goods and services also rose from 134.5% in 2021 to 171.9% in 2022. Non-oil exports reached 315.7 billion riyals, growing by 13.7%, and accounted for 20.5% of total goods exports, reaching 178 countries worldwide.
The report predicts a continued robust performance for the Saudi economy and private sector, driven by various economic indicators, government support packages, and the implementation of large-scale projects across the Kingdom’s regions.