Saudi Finance Minister, Mohammed Al-Jadaan, stated that the world needs a “strong Saudi Arabia,” emphasizing that “if we are not strong, we will not be able to help the region.”
During a session at the World Economic Forum in Davos titled “Saudi Arabia: The Future Path,” Al-Jadaan affirmed Saudi Arabia’s determination to continue its economic reforms, reported Al Arabiya.
He highlighted the significant decrease in the oil GDP’s contribution to the overall GDP from 70% to 35%.
“This is a very significant achievement as it means the growth of the non-oil GDP to 65%,” said Al-Jadaan.
Saudi Economic Efforts
Al-Jadaan noted that Saudi Arabia is flexible in its economic plans and conservative in its forecasts, allowing it to achieve higher growth levels than anticipated.
He emphasized that the Kingdom is doubling its efforts to diversify its economy into new industries such as entertainment, sports, tourism.
Moreover, it aims to develop traditional sectors like energy and mining.
“This is an existing motivation, and we will continue in this direction,” commented the minister.
The Saudi Minister of Economy and Planning, Faisal Alibrahim, predicted a 4.4% growth in the Saudi economy in 2024.
Speaking at a panel discussion at the World Economic Forum in Davos, Alibrahim expected the non-oil GDP of the Kingdom to grow between 4.5% and 5% during the current year.
He added that the Kingdom’s economy has grown by 20% since 2016, excluding oil. “Saudi Arabia and its partners are targeting long-term stability in the oil market,” said Alibrahim.
Moody’s Projections
Moody’s Analytics had predicted that the non-oil GDP in Saudi Arabia would grow between 3% and 4% annually until 2030.
The institution noted that this anticipated growth would lead the non-oil economy to account for about 56% of the Kingdom’s total GDP. Conversely, Moody’s predicted that the oil sector’s growth would be between 0.5% and 1.5% after 2025.
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