Riyadh January 31 2024: According to the flash estimates by the General Authority for Statistics (GASTAT), Saudi Arabia’s economy has officially entered a recession as the Gross Domestic Product (GDP) experienced a consecutive quarter-on-quarter decline of 3.7% in the fourth quarter of 2023.
Saudi Arabia’s GDP in the fourth quarter contracted by 3.7%, marking a decrease compared to the corresponding period in the previous year. In the preceding quarter (Q3), the GDP had experienced a decline of 4.4%.
This contraction in GDP was primarily attributed to a notable 16.4% reduction in oil-related activities, despite an expansion of 4.3% in non-oil activities and 3.1% in government-related activities.
Looking at the overall performance for the year 2023, the real GDP registered a decline of 0.9% when compared to the figures from 2022. This overall decrease in GDP was influenced by a 9.2% reduction in oil-related activities, counterbalanced by growth in non-oil activities (4.6%) and government-related activities (2.1%).
