The Ministry of Finance welcomed the press release issued by IMF experts following the conclusion of the 2026 Article IV consultation discussions, affirming that the document highlighted the strength of the Saudi economy and its ability to withstand current regional developments. Officials praised that this strength is based on solid economic fundamentals, availability of reserves, diversification of oil and logistics infrastructure, along with ongoing reforms within the framework of Saudi Vision 2030.

Remarkable growth at the start of 2026

The experts stated that the Saudi economy experienced strong momentum at the beginning of 2026, following a growth rate of 4.5% in GDP for 2025. This growth was supported by the end of agreed production cuts under the OPEC+ framework and the continued activity of non-oil sectors due to strong domestic demand. The experts also noted the continuation of positive indicators in the labor market and a slowdown in inflation to below 2%.

Impact of geopolitical developments and adaptation measures

The statement indicated that regional geopolitical developments, along with associated disruptions in navigation and shipping, had an impact on the economy. However, Saudi Arabia demonstrated adaptability and flexibility, supported by government efforts to facilitate the adjustment of shipping routes and reduce logistical bottlenecks, which helped maintain the continuity of economic activity.

Strong safety margins due to solid foundations

IMF experts confirmed that the Saudi economy enjoys solid safety margins due to low levels of government debt, abundant reserves, the strong financial position of the Public Investment Fund, and the resilience of the banking sector. These factors enhanced the Kingdom’s ability to absorb shocks and maintain overall economic and financial stability.

Government efforts to enhance sustainability and reprioritize

The statement noted that the government is working to contain the economic impact of regional developments by reprioritizing spending and continuing medium-term fiscal sustainability efforts. These efforts support sustainable growth and enhance the economy’s resilience, while also contributing to economic diversification and private sector growth.

The experts also reviewed the reform trajectory launched under Vision 2030, noting that these reforms have contributed over the past years to improving governance, enhancing policy-making, increasing economic flexibility, and supporting economic diversification, which has positively reflected on non-oil performance.

They welcomed the update of the Public Investment Fund strategy for the period 2026‑2030, considering that this would contribute to efficient capital allocation, attracting more private sector institutions, improving the business environment, deepening capital markets, and supporting small and medium enterprises.

Strength of the financial sector and central bank support

The experts praised the strength of the financial sector in the Kingdom, highlighting the robust capital and liquidity reserves of banks and their ability to withstand shocks. They also welcomed the efforts of the Saudi Central Bank in intensifying monitoring of liquidity, credit, and asset quality conditions, and continuing precautionary measures that support the stability of the banking sector.

Saudi Vision 2030

Saudi Vision 2030 is a strategic framework launched in 2016 to reduce Saudi Arabia’s dependence on oil, diversify its economy, and develop public service sectors such as health, education, infrastructure, and tourism. It was introduced by Crown Prince Mohammed bin Salman as part of a long-term plan to transform the kingdom into a global investment powerhouse and a vibrant society. The initiative also includes major cultural and tourism projects, such as the Red Sea development and the futuristic city of NEOM, reflecting a historic shift in the country’s economic and social priorities.

OPEC+

OPEC+ is an expanded group of oil-producing nations, including the original OPEC members and allies like Russia, that formed in 2016 to coordinate production levels and stabilize global oil prices. Its history stems from the 1960 founding of OPEC, but the “+” alliance emerged as a response to the 2014 oil price crash, aiming to jointly manage supply through agreements like the 2020 historic production cuts during the COVID-19 pandemic. Today, OPEC+ wields significant influence over the world’s oil market, with regular meetings to adjust output quotas.

Public Investment Fund

The Public Investment Fund (PIF) is Saudi Arabia’s sovereign wealth fund, established in 1971 to finance strategic national development projects. It has since evolved into one of the world’s largest investment funds, playing a central role in the country’s Vision 2030 plan to diversify its economy beyond oil. The PIF oversees major global investments and domestic mega-projects, such as NEOM and the Red Sea Project.

Saudi Central Bank

The Saudi Central Bank, also known as SAMA (Saudi Arabian Monetary Authority), was established in 1952 to oversee the Kingdom’s monetary policy, currency issuance, and financial stability. Originally founded to manage the country’s oil revenues and stabilize the riyal, it has since evolved into a modern central bank that regulates the banking sector and promotes economic growth. In 2020, it was officially renamed the Saudi Central Bank to align with international standards, though it retains the acronym SAMA.