Saudi Arabia's economy expanded by 3.0% year-on-year in the first quarter of 2026, with non-oil activities emerging as the main engine of growth and a key factor behind the Kingdom's economic resilience amid regional disruptions.
Non-oil activities grew by 2.9% during the quarter, contributing 1.7 percentage points to overall GDP growth. Oil activities also rose by 2.9%, while government activities increased by 1.5%. Among the strongest performers, financial and insurance activities together with business services recorded 5.4% growth, while manufacturing excluding oil refining expanded by 4.0%.
The export picture reflected similar momentum. Non-oil exports climbed 15.1% year-on-year in February 2026. Non-oil national exports excluding re-exports rose 6.3%, while re-exports surged 28.5% over the same period.
Why it matters
For residents and businesses across the Kingdom, the figures point to a broadening economic base beyond oil. Growth is being supported by economic diversification, rising investment, strong domestic demand, promising new sectors, and reforms under رؤية السعودية 2030. The 2026 mid-year economic and fiscal report projects non-oil activities to grow by 3.2%.
The resilience comes despite regional maritime and shipping disruptions that affected logistics, oil exports, overall confidence, and economic momentum. Saudi authorities responded by reducing logistics bottlenecks and facilitating the rerouting of shipments, helping maintain the flow of trade during the period.
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