Saudi economy posts 1.2% growth in Q3; 4.2% annual contraction

Industrial Investments in Saudi Arabia Reach SAR1.5 Trillion by the End of Q3 2023

Published on:

04 Jan 2024, 10:34 am

Investments in Saudi Arabia’s industrial sector have shown a quarterly growth rate of 1.5%, with a total value of approximately SAR1.5 trillion by the end of the third quarter of 2023.

This value compares to around SAR 1.4 trillion by the end of Q2 2023, representing an annual growth rate of 9.3% compared to approximately SAR 1.3 trillion for the same period in the previous year.

Investments in large-scale facilities reached a value of SAR 975.767 billion, accounting for 65.1% of the total. Investments in medium-scale facilities amounted to SAR 390.060 billion, representing 26% of the total, while investments in small-scale facilities amounted to SAR 132.951 billion, accounting for 8.9% of the total.

National investments topped the list of investors in terms of investment type by the end of Q3 2023, with a total value of SAR 938.133 billion, accounting for 62.6% of the total investment volume.

This was accomplished by 9,324 existing factories, representing 82.7% of total number of factories.

Joint investments ranked second with a value of SAR 486.961 billion, accounting for 32.5% of the total investments, and 941 existing factories, representing 8.3% of the total number of factories. Foreign investments ranked third with a value of SAR 73.684 billion, accounting for 4.9% of the total, and 1,008 existing factories, representing 8.9% of the total.

Meanwhile, the total number of existing factories increased by 2.6% and 5.1% on a quarterly and annual basis, respectively, reaching 11,273 factories. The total number of employees reached 757,429 workers, showing a quarterly and annual growth rate of 2.9% and 11.6%, respectively.

Investments were concentrated in the Eastern Region, accounting for 41.2% of the total investment volume, with a value of SAR 617.191 billion.

The region of Riyadh had the most factories, totaling 4,389 and making up 38.9% of the overall number of factories. Moreover, Riyadh also had the largest workforce, with 282,702 employees, constituting 37.3% of the total workers.