Saudi Finance Minister Foresees 6% Growth in Non-Oil Economy for 2023

In a significant address during the second day of the Future Investment Initiative, Saudi Arabia’s Minister of Finance, Muhammad Al-Jadaan, underlined the nation’s commitment to diversify its economy and reduce its dependence on oil. He expressed optimism that the Saudi non-oil economy is set to achieve a robust growth rate of approximately 6% in the current year.

Al-Jadaan shed light on the broader economic landscape, stressing that Saudi Arabia’s focus extends beyond the Gross Domestic Product (GDP) as the sole indicator of prosperity. The government’s primary objective lies in promoting economic diversification and bolstering the non-oil sector.

The minister went on to emphasize the global implications of protectionist trade policies and trade restrictions between countries. He pointed out that such measures have a disproportionate impact on impoverished and low-income nations. Al-Jadaan highlighted a direct correlation between trade restrictions and poverty rates, suggesting that these measures could exacerbate economic hardships for the world’s most vulnerable populations.

Furthermore, Al-Jadaan underscored the negative effects of trade restrictions on inflation rates, particularly within low-income nations. He revealed that such countries might be burdened with high-interest payments, even as they strive to achieve ambitious growth targets.

Discussing Saudi Arabia’s 2030 Vision, the finance minister reaffirmed the nation’s commitment to improving its economic prospects. This long-term plan outlines the Kingdom’s ambitions for economic development and diversification.

Turning to Saudi Arabia’s international relationships, Al-Jadaan expressed the nation’s desire to strengthen ties with both the United States and China. He highlighted the robust and historical relations between Saudi Arabia and the United States, as well as the growing significance of the partnership with China, which stands as the Kingdom’s largest trading partner. Al-Jadaan stressed the importance of fostering communication and collaboration with nations worldwide.

Addressing the conflict in Gaza, the finance minister expressed the nation’s sympathy for civilian victims. He called for the respect of international law and urged a prudent approach to resolving conflicts. Al-Jadaan emphasized Saudi Arabia’s commitment to a peaceful path forward, rather than a return to past hostilities.