Saudi Economy Grows by 3.8%

The General Authority for Statistics in Saudi Arabia reported today, Thursday, that "the country's economy grew by 3.8% year-on-year in the first quarter of 2023." It added, "non-oil economic activities grew by 5.4%, while oil activities increased by 1.4% and government services activities rose by 4.9%." The Authority estimated that "the Saudi economy would witness a growth of 3.9% in the first quarter when it issued preliminary estimates in May." The Saudi economy achieved a growth of 8.7% last year, as high oil prices boosted revenues, leading the Kingdom to record its first budget surplus in nearly 10 years. However, oil prices remain low this year amidst uncertainty surrounding demand forecasts, despite the Kingdom, the world's largest oil exporter, taking steps to announce voluntary production cuts, the latest of which was last Sunday.