Non-oil sector drives 90% of Saudi FDI: Al-Falih

Saudi Arabia’s GDP has doubled over the past decade since the launch of Vision 2030, said Minister of Investment Khalid Al-Falih

Khalid Al-Falih, Minister of Investment, said that 90% of Saudi Arabia's foreign direct investment (FDI) inflows stem from the non-oil sector.

Speaking at a session during the ninth edition of the Future Investment Initiative (FII), Al-Falih noted that FDI in the Kingdom has quadrupled since the launch of Vision 2030, despite a global decline in investment flows. He added that Saudi Arabia continues to surpass its ambitious investment targets.

The minister explained that total investment, including both foreign and domestic, has doubled, with investment now accounting for 30% of the Kingdom’s gross domestic product (GDP), most of which comes from the non-oil sector.

Al-Falih further stated that Saudi Arabia’s GDP has doubled over the past decade since the launch of Vision 2030, with most of the growth driven by the non-oil sector.

He added that 40% of the Kingdom’s budget and expenditures are now financed by non-oil revenues, underscoring the strong macroeconomic and fiscal balance achieved.

The minister noted that the Kingdom’s ongoing economic transformation is being driven by new sectors such as advanced manufacturing, technology, tourism, and deep tech.

Al-Falih emphasized that geopolitical tensions and global conditions do not affect the Kingdom’s reform momentum.

Saudi Arabia’s continuously improving regulatory frameworks, the riyal's peg to the US dollar and the country’s large reserves have enabled it to withstand major shocks such as the COVID-19 pandemic and oil price declines.

Al-Falih also pointed out that the Kingdom is supported by the Public Investment Fund (PIF), the National Development Fund (NDF), and a strong banking sector that provides liquidity and financing to investors.