Saudi’s economic reliance on oil drops to 68%: Minister

The Saudi economy’s reliance on oil has declined from 90% to 68%, specifically in terms of sources of growth rather than revenue, said Minister of Economy and Planning Faisal Alibrahim.

This led to non-oil activities rising to a record 56% of real gross domestic product (GDP), he said at the 2026 Budget Forum.

As many as 74 of 81 non-oil activities recorded annual growth above 5% over the past five years, with 37 posting growth rates exceeding 10% during the period, the minister said.

The cumulative non-oil economic growth exceeded 30% since 2016, outpacing advanced economies, which grew around 20% during the same period.

The Kingdom is now shifting from “achievement at any cost” to “achievement at the right cost”, with greater focus on maximizing the economic impact.

There is an opportunity over the next five years to build on the progress achieved and accelerate economic restructuring, Alibrahim said.

Private-sector participation in the economy grew from 38% to 50%, with more opportunities to further increase private-sector contribution, he added.

The minister stressed the importance of opening sectors to private investment and ensuring clarity about opportunities in both the short and long term, which will allow them to plan, promote localization, provide high-quality jobs, and reduce costs.

Alibrahim stated that artificial intelligence (AI) will be the biggest driver of growth in non-oil activities in the coming years.