Saudi Arabia is set to outpace several major economies by 2026, with the Organisation for Economic Co-operation and Development (OECD) projecting a real GDP growth of 2.5%, outstripping the United States (1.5%), Germany (1.2%), the UK (1.0%), and France (0.9%).
The OECD’s latest economic outlook also forecasts the Kingdom’s growth at 1.8% in 2025, positioning it ahead of most G20 peers despite ongoing global volatility (OECD, June 2025). This aligns with the International Monetary Fund’s more optimistic prediction of 3% growth in 2025, rising to 3.7% in 2026.
The OECD revised its global economic growth forecast downward to 2.9% for both 2025 and 2026, citing trade tensions, financial tightening, and waning consumer confidence. While G20 economies are expected to grow at the same 2.9% pace, India is projected to remain an outlier with 6.3% growth in 2025 and 6.4% in 2026.
On the inflation front, Saudi Arabia continues to show stability. The OECD estimates the Kingdom’s inflation will average 1.9% in 2025 and 1.8% in 2026, well below the G20 average of 3.6% and 3.2%, respectively. The IMF mirrors this view, forecasting 2.1% inflation in 2025 and 2% in 2026.
Amidst rising global uncertainty, Saudi Arabia’s disciplined reform strategy and strong fundamentals are helping to position it as a stable and increasingly attractive economic player on the global stage.
Looking to expand into Saudi Arabia? At HARIS Consultancy, we help companies seize new opportunities in the Middle East through tailored internationalization strategies, funding access, and in-market support. Get in touch to learn how to start your expansion.
