The Saudi economy grows 2.7% in the first quarter of 2025

The Saudi economy recorded a growth of 2.7 percent on an annual basis during the first quarter of 2025, driven by the high performance of the non -oil sector, at a time when the Kingdom continues its efforts to reduce its dependence on oil and implement the ambitious 2030 economic vision.

According to the rapid estimates issued by the General Authority for Statistics, the growth came as a result of the improvement in non -oil activities that increased by 4.2 percent, in addition to the growth of government activities by 3.2 percent.

The authority announced a comprehensive update of the gross domestic product data, noting the expansion of data collection and the increase in the weight of the non -oil sector, in line with international standards and enhances the quality of official statistics.

On the other hand, oil activities decreased by 1.4 percent on a quarterly basis, which reflects the challenges facing the Kingdom in light of the decline in crude prices. According to Reuters, analysts expect that the average price of Brent crude will reach about $ 68.99 a barrel in 2025, which is less than the average of last March of $ 72.94, and remains below the price that the Saudi economy needs to achieve the financial balance, which it set International Monetary Fund at $ 96.2 a barrel.

“The private sector activity is still strong driven by the progress made in investment projects, while the government benefited from relative stability in oil prices during the first quarter,” said Monica Malik, the chief economist at Abu Dhabi Commercial Bank. (Sky News)