Saudi Arabia’s economy is projected to remain resilient, with the Kingdom’s gross domestic product expected to grow by 1.6 percent this year, accelerating to 4.9 percent by 2025, according to a recent analysis by the World Bank.
The report also indicates that Saudi Arabia’s inflation rate is likely to remain steady at 2.1 percent in 2024 and 2.3 percent in 2025, both figures lower than the average for the Gulf Cooperation Council region. Inflation in the GCC is projected to be 2.2 percent in 2024 and 2.7 percent in 2025.
Furthermore, the analysis highlights the impact of Saudi Arabia’s Vision 2030 initiative, which has led to significant socio-economic advancements.
Female labor participation has risen from 22 percent in 2016 to 34 percent by the end of 2023, aligning with the Kingdom’s strategic goals of promoting gender equality and increasing female workforce participation.
“Key reforms in labor laws to eliminate employment discrimination, the expansion of job opportunities across various industries, and the emphasis on female labor force participation as part of Vision 2030 may have led to a substantial rise in women’s participation in a relatively short time,” said World Bank.
The World Bank’s latest projection for Saudi Arabia’s economic growth in 2025 exceeds the previous forecast by the International Monetary Fund.—AN
