Saudi Arabia Macroeconomic Developments
- Saudi Arabia’s GDP declined 0.3 percent YoY during Q2, largely due to an 8.9 percent drop in oil activities following the Kingdom’s decision to cut crude output in line with OPEC+ agreements. Saudi Arabia’s non-oil GDP expanded 4.9 percent YoY in the second quarter of 2024, driven by gains in the financial and insurance sectors. Non-oil GDP also rose 2.1 percent QoQ.
- Saudi banks granted SAR7.07 billion ($1.9 billion) in new residential mortgage loans in July, marking a 33 percent increase QoQ. The number of loan contracts surged to 9,605, up from 7,274 in the previous month.
- Saudi Arabia’s Industrial Production Index rose 1.6 percent YoY in July, driven by a surge in manufacturing activity. According to data from the General Authority for Statistics (GAStat), manufacturing activities grew 4.6 percent, lifting the Kingdom’s IPI to 106.2 points for the month.
