Saudi Non-Oil Sector Drives 2.7% GDP Growth in Q1 2025

KSA, 6 May, 2025 : Saudi Arabia’s economy grew 2.7% year-on-year in Q1 2025, fueled by a 4.2% rise in non-oil GDP, while oil GDP slipped 1.4%, according to flash estimates from GASAT.

A robust non-oil PMI of 58.1 signaled continued expansion, supported by strong demand, increased employment, and resilient consumer spending. Point-of-sale transactions rose 10% and e-commerce surged 73.4% year-on-year in March, with jewelry and clothing sales leading growth.

Inflation climbed to 2.33% in March, driven by a 6.91% rise in rental costs. Wholesale prices edged up 1.53% year-on-year, while industrial production dipped 0.2% in February.

Non-oil exports grew 14.3% in February, led by chemical products, and credit growth hit 15%, driven by corporate lending. Oil output slightly declined to 8.95 million bpd in March, while cement sales slipped 2% year-on-year.