Economic Growth of Saudi Arabia: Revenue Index Rises by 11.4%
In May 2026, the operating revenue index of Saudi Arabia increased by 11.4% year-on-year, reflecting the rapid development of key sectors of the economy and the creation of favorable conditions for tourism development.
Strong Growth in Economic Indicators
According to data from the General Authority for Statistics of Saudi Arabia (GASTAT), the monthly growth of the operating revenue index was 2.9% compared to April. This indicator reflects a stable upward trend in the country's economy. Such results are a reflection of the successful implementation of national economic programs and the diversification of the state's income sources.
Growth Leaders: Which Sectors Are Growing the Fastest
The most impressive results were shown by the mining and quarrying sector — a growth of 38.7%. The financial and insurance sector demonstrated a growth of 12.9%, manufacturing increased by 9.6%, and trade and repair of vehicles grew by 3.6%. Construction, traditionally an important segment for the country, grew by 2.5%. This distribution of growth shows a healthy structure of the economy with participation from both raw material and high-tech industries.
Salaries and Employment Grow Alongside Revenues
The employee compensation index increased by 9.8% year-on-year, indicating improved working conditions and increased welfare of the population. Manufacturing leads with a salary growth of 11.4%, while the financial sector shows a 12.8% increase. The monthly growth of this index was a modest 0.1% compared to April, however, annual trends remain positive and reflect the overall stabilization of the labor market.
Construction: Ambiguous Trends
Against the backdrop of overall economic growth, the number of building permits issued showed a decline. In May 2026, 5056 permits were issued compared to 7584 in May 2025 — a decrease of 33.3%. Compared to April, the decline was 25.7%. This indicator may reflect both the completion of previous waves of construction booms and a more cautious approach by investors to new projects in the context of a real estate market reassessment.
What These Figures Mean for the Country
The 11.4% growth in operating revenues demonstrates that the economy of Saudi Arabia remains dynamic and attractive for investments. The diversification of income sources — from traditional extraction to financial services — creates a more sustainable foundation for long-term development. The simultaneous growth in salaries indicates that economic progress is being distributed among the population, contributing to social stability and strengthening domestic demand.
FAQ
By what percentage did the operating revenue index grow in May 2026?
The operating revenue index of Saudi Arabia grew by 11.4% year-on-year and by 2.9% month-on-month compared to April 2026 according to GASTAT.
Which sector showed the highest revenue growth?
The mining and quarrying sector demonstrated the highest growth at 38.7%, followed by the financial sector (12.9%) and manufacturing (9.6%).
How has the employee compensation index changed?
The employee compensation index increased by 9.8% year-on-year, with the highest growth in the financial sector (12.8%) and manufacturing (11.4%), reflecting improved working conditions.
