The International Monetary Fund (IMF) has revised its growth forecast for Saudi Arabia’s economy, predicting a robust expansion of six percent in 2025, up from the previous projection of 5.5 percent made in January 2024.
This marks the second consecutive upward adjustment in the IMF’s forecast for Saudi Arabia’s economic growth in 2025. The Kingdom’s economy is now set to achieve the second-highest growth rate globally, trailing only behind India, which is expected to register a growth rate of 6.5 percent.
The latest update from the IMF’s ‘World Economic Outlook’ report indicates a steady global economic growth of 3.2 percent throughout 2024 and 2025, maintaining the same pace as observed in 2023.
Despite the stable global economic outlook, the IMF’s experts have raised their expectations for Saudi Arabia’s economic growth in 2025, reflecting confidence in the Kingdom’s resilience and ability to navigate global challenges.
Initial projections in January 2024 suggested Saudi Arabia’s economy would grow between 4.5 percent and 5.5 percent in 2025. However, the subsequent revision to six percent underscores the IMF’s recognition of the Kingdom’s economic strength and performance.
The IMF report highlights Saudi Arabia’s distinguished economic performance amid global uncertainties, emphasizing progress in economic diversification and significant expansion of non-oil revenues.
This forecast reaffirms Saudi Arabia’s position as a key player in the global economy and underscores its resilience in the face of evolving global dynamics.
photo source: Google
By: Montel Kamau
Serrari Financial Analyst
19th April, 2024
