Saudi economy growth reached 4.5 percent in 2025, driven primarily by non-oil sectors for the first time in the Kingdom’s modern history. Tourism, entertainment, technology, and financial services pushed expansion forward while oil revenues remained stable throughout the year.
The numbers tell a compelling story of transformation unfolding across the Kingdom. The entertainment sector alone saw double-digit growth as new venues and attractions drew record numbers of visitors.
Red Sea resorts with their pristine beaches contributed significantly to the tourism surge. Riyadh’s expanding entertainment scene added momentum throughout the year with concerts, sporting events, and cultural festivals.
Tourism played a major role in this economic picture. Millions of visitors arrived outside traditional Hajj and Umrah seasons, a development that seemed unlikely just five years ago.
AlUla’s ancient wonders carved into sandstone cliffs attracted international travelers. Coastal developments along the Red Sea drew beach seekers year-round.
The financial sector showed remarkable strength across all metrics. Banking profits hit new highs as lending expanded to support construction across Saudi cities from coast to coast.
Real estate development, infrastructure projects, and industrial expansion all required substantial capital. Saudi banks were ready and willing to provide it.
Foreign direct investment exceeded analyst expectations by significant margins. International companies increasingly view Saudi Arabia as a gateway to the broader Middle East market with its young population.
Manufacturing facilities, regional headquarters, and technology hubs attracted fresh waves of investment capital. The Kingdom’s growing consumer power drew corporate attention from around the world.
Unemployment among Saudi nationals dropped as new sectors created opportunities that simply did not exist a decade ago. Young Saudis now build careers in film production, event management, hospitality, and technology startups.
These professional paths exist alongside more traditional routes in government and the energy industry.
Economists project continued robust growth as NEOM, the Red Sea development, and other major projects move toward completion. The foundation has been carefully laid for an economy that can thrive regardless of oil price fluctuations.
Data from the General Authority for Statistics confirms the growth trajectory across multiple sectors.
Economic diversification remains central to national planning. The Saudi Times continues to monitor these developments closely.
That resilience, more than any single quarterly growth figure, represents the real achievement of the transformation underway.
