Saudi Arabia Unveils $2 Trillion Economic Strategy to Foster Growth
Saudi Arabia is preparing to unveil an ambitious economic strategy valued at up to $2 trillion over the next five years, aimed at bolstering economic diversification and decreasing its reliance on oil, as reported by Bloomberg.
In an interview with Bloomberg Television during the AlUla Conference on Emerging Market Economies, Saudi Finance Minister Mohammed Al-Jadaan indicated that discussions have commenced on how to effectively communicate the new strategy to the public. He highlighted that key sectors such as tourism, industry, logistics, and technology will serve as foundational elements of this initiative.
However, specific details regarding the launch date and financial breakdown have yet to be disclosed.
This announcement coincides with a review of the Kingdom's "Vision2030" strategy, which seeks to diversify the economy away from oil dependency. The focus is shifting towards enhancing spending efficiency and attracting foreign investments and private capital, according to Al-Jadaan.
Al-Jadaan remarked: "We are continuously reassessing priorities and policies to ensure that the private sector can take the lead in the economy, and we have a broad array of funding options available should we require additional financing."
The minister emphasized that the Saudi economy is demonstrating notable resilience, with projections indicating that GDP will achieve its fastest growth in three years by 2025, bolstered by the recovery of the oil sector, which has become a primary growth driver under new OPEC+ supply policies.
Recent data also revealed that advancements in artificial intelligence have contributed to a 50% increase in the scale of financial businesses, reflecting a swift digital transformation within the Kingdom and underscoring the growing significance of technology in the economy.
This strategic initiative emerges amid a complex and fragmented global economic landscape, making the enhancement of local growth and diversification of income sources a critical priority for the Kingdom.
