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Saudi Arabia’s real gross domestic product (GDP) contracted by 1.03 percent to SAR 628.2 billion in Q2, from SAR 634.2 billion in the same period last year.
The Kingdom’s economy contracted for the second quarter in a row as it adjusts to low oil prices and new economic reforms. In Q1, GDP shrank by 0.5 percent.
The non-oil sector’s contribution to GDP rose by 0.6 percent YoY to SAR 349.1 billion.
The oil sector’s GDP shrank by 1.8 percent in Q2, data showed. The sector’s contribution to GDP declined to 43.8 percent in the second quarter, down from nearly 44.1 percent in Q2 2016.
Crown Prince Mohammed bin Salman, who heads the Council of Economic and Development Affairs, is leading the Kingdom’s reforms to ween the economy off oil.
The government sector’s GDP expanded by 1.59 percent YoY at current prices and by 1 percent YoY at real prices.
Similarly, the private sector activity rose by 0.44 percent and 0.38 percent YoY at current and real prices, respectively.
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