São Paulo – Saudi Arabia’s non-oil GDP remained resilient, growing 0.6% in the second quarter compared with the same period in 2025. However, this was not enough to offset a 24.7% contraction in the Gulf country’s oil sector, resulting in an overall GDP decline of 4.8%, data released on Friday (31) by the government’s statistical authority GASTAT showed.
The main reason for the contraction in the oil sector was the conflict involving the United States and Israel against Iran, which nearly disrupted shipping through the Strait of Hormuz, the route for oil and petroleum product exports from Gulf countries. Saudi Arabia was able to redirect part of its exports through ports on the Red Sea coast, opposite the Gulf region.
According to GASTAT, government activities grew 0.9% in the second quarter compared with the same period last year. Together with the expansion of the non-oil sector, this helped cushion the impact of the conflict on the country’s economy. The figures released by GASTAT are preliminary and may be revised before the final data are published.
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Translated by Guilherme Miranda
