RIYADH: Saudi Arabia’s economy is projected to regain momentum in 2027, with growth accelerating to 4.3 percent after easing to 3.2 percent in 2026, supported by a resilient non-oil sector and robust domestic demand.
In its latest Economic Outlook, the Organization for Economic Co-operation and Development said the slowdown is a temporary dip rather than a structural setback. The report added that the pipeline to the Red Sea has provided a crucial buffer for oil flows.
These projections broadly align with the International Monetary Fund’s April forecasts, which put Saudi growth at 3.1 percent in 2026 and identified the Kingdom as among the least affected Gulf economies.
The IMF also raised its 2027 growth forecast to 4.5 percent, assuming energy production and transport normalize in the coming months.
“Real GDP growth is projected to moderate from 4.5 percent in 2025 to 3.2 percent in 2026, before recovering to 4.3 percent in 2027, reflecting the evolving conflict in the Middle East,” the OECD said.
