Saudi Non-Oil Economy Tops Half of GDP in 2025

Saudi Arabia's non-oil economy has grown to represent more than half of the Kingdom's output, with non-oil activities accounting for roughly 55–59% of real GDP as of 2025–2026, Non-oil GDP reached about SAR 2.7 trillion in 2025 and expanded by around 4.9% during the year, outpacing overall economic growth.

The expansion has been driven largely by domestic consumption and services. Wholesale and retail trade, restaurants, and hotels made up about 17% of non-oil gross value added in 2024–2025, recording real growth of roughly 6–6.4% and ranking among the leading contributors to non-oil activity. Financial services and insurance, at around 7% of non-oil value added, grew about 5.7–6.1%, supported by capital-market activity, fintech development, and mortgage lending.

The private sector's contribution to GDP now stands at around 48–51%, up from about 40% at the baseline of Vision 2030. Official diversification tracking for 2026 places the non-oil share near 59% and rated as "on track," while the private-sector share, at about 48%, is flagged as "at risk" relative to the 65% target set for 2030.

Recent quarterly figures confirm continued momentum. In the first quarter of 2026, non-oil activities grew about 2.9% year-on-year, while overall real GDP rose around 3.0%. Private final consumption expenditure climbed about 5.3%, and the Consumer Price Index increased about 1.8%, with notable gains in personal care, housing and utilities, and financial services.

For residents and businesses across the Kingdom, the figures point to sustained demand, moderate inflation, and expanding opportunities in retail, hospitality, and finance — sectors that shape everyday spending and employment. The steady rise of the non-oil economy underlines the broader shift toward diversified, consumption-driven growth central to the Kingdom's long-term plans.

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