Saudi service trade grows 7% to SAR 540B: Commerce Minister

Minister of Commerce, Majid Al-Kassabi

Saudi Arabia’s service trade volume reached SAR 540 billion in 2023, marking a 7% growth, according to Minister of Commerce Majid Al-Qasabi.

Speaking at the World Economic Forum in Davos, Al-Qasabi highlighted the importance of facilitating global service trade, which represents 65% of global Gross Domestic Product (GDP), 60% of foreign investments, and is the largest job provider worldwide, especially for women.

Al-Qasabi also emphasized the need for collaboration to reduce regulatory burdens in the service sector, which hinder competitiveness. Ambiguous regulations create challenges for small and medium enterprises (SMEs), impacting their economic contribution, he added.

The minister went on to say that Saudi Arabia is undergoing a transformation under Vision 2030, focusing on sector development and expanding global trade. The Kingdom is diversifying its economy by expanding into sectors such as tourism, culture, mining, services, and entertainment.

New government bodies like Monsha’at, the Saudi Intellectual Property Authority, and others have been created to improve the business environment.

Al-Qasabi mentioned that Saudi Arabia has invested SAR 93.7 billion in its digital infrastructure and plans to allocate an additional SAR 75 billion for future development.

The Kingdom is also enhancing business activities by updating regulatory frameworks and focusing on skills development, with a Premium Residency Center to attract top talent.