Saudi Non-Oil Economy Grows Nearly 5% in 2025

Saudi Arabia's non-oil economy recorded strong momentum in 2025, expanding by about 4.9% and outpacing overall GDP growth, as the Kingdom continues to diversify away from oil. Non-oil sectors accounted for roughly 56% of GDP during the year, underlining the growing weight of industry, services, and tourism in the national economy.

Preliminary figures for the first quarter of 2026 show real GDP growing around 3% year-on-year, driven mainly by non-oil activities. Both oil and non-oil activities expanded by roughly 2.9% year-on-year, reflecting broad-based growth across the economy.

Tourism drives non-oil growth

Travel and tourism made a total contribution of about SAR 667 billion (roughly USD 178 billion) to the economy in 2025, exceeding 10% of GDP. The sector grew at a rate close to 7–8%, nearly double the global tourism growth rate, supporting jobs in accommodation, food services, and retail.

Total visits rose to about 122 million in 2025, made up of roughly 29 million international and 93 million domestic trips, keeping international arrivals near the 2024 record while domestic tourism continued to expand. In 2024, the Kingdom recorded about 116 million visits in total, surpassing the Vision 2030 target of 100 million visits some five years ahead of schedule.

Tourism spending reached around SAR 300 billion in 2025, while international visitors spent about SAR 49 billion in the first quarter of 2025 alone, roughly 10% higher than a year earlier. The National Industrial Development and Logistics Program also generated about SAR 1,045 billion in non-oil GDP in 2025, around 39% of the total non-oil economy.

For residents and expats, this sustained growth means expanding job opportunities, more services, and a busier tourism and events calendar across major cities such as Riyadh, Jeddah, and Dammam.

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