World Bank maintains Saudi GDP growth forecasts at 3.7% for 2023

The Kingdom of Saudi Arabia's flag

The World Bank affirmed its expectations for Saudi Arabia’s real gross domestic product (GDP) growth at 3.7% for 2023.

In its latest Global Economic Prospects report, the World Bank expected the Saudi economy to grow by 2.3% in 2024.

Global growth rates are slowing amid high inflation and interest rates, along with lower investments and the turmoil arising from the Russian invasion of Ukraine.

Many oil producing countries in the region witnessed a significant increase in their output and exports in 2022. Kuwait, Saudi Arabia and the UAE saw their GDP growing at the fastest pace since almost a decade, the World Bank added.

The GCC countries were able to maintain inflation much less than the global average, due to stable exchange rate and fuel subsidy.

In October 2022, the World Bank raised estimates for the Kingdom’s economic growth from 7% to 7.3% in 2022, Argaam earlier reported.