Minister of Investment Khalid Al-Falih called for enhanced public-private collaboration as the private sector’s GDP contribution doubles to SAR 2.3 trillion
Minister of Investment Khalid Al-Falih emphasised the vital and complementary role played by the private sector within Saudi Arabia’s national investment ecosystem, underscoring its significant contribution to the Kingdom’s economic expansion.
Speaking at a meeting held at the Federation of Saudi Chambers (FSC) headquarters on Sunday, Khalid Al-Falih noted that the private sector’s contribution to the gross domestic product (GDP) has doubled over the past decade, rising from SAR 1.1 trillion in 2016 to approximately SAR 2.3 trillion. He expressed optimism about further growth, aiming to surpass SAR 2.4 trillion within the next five years.
The Minister met with FSC Chairperson Hassan Alhwaizy, alongside heads and representatives of Saudi chambers of commerce, joint Saudi-foreign business councils, and national committees. The meeting was also attended by Assistant Minister of Investment Ibrahim Al-Mubarak, CEO of the Saudi Investment Promotion Authority (SIPA) Khaled Alkhattaf, and senior officials from the Ministry of Investment.
Al-Falih highlighted the private sector’s essential role in driving economic growth, citing a remarkable 76 percent increase in domestic investment in 2024. Currently, local investment accounts for around 30 percent of Saudi Arabia’s GDP, reflecting a strong shift towards greater economic self-reliance.
Foreign investment inflows have also surged, quadrupling since the launch of Saudi Vision 2030 to nearly SAR 120 billion in 2024. The total stock of foreign direct investment now exceeds SAR 1 trillion, marking a 100 percent increase compared to 2016. These figures, the Minister noted, underscore the success of the Kingdom’s economic transformation and the critical importance of sustained collaboration between public and private sectors.
The meeting aimed to deepen strategic partnerships between the Ministry of Investment and the FSC, explore new avenues for private sector collaboration, and address ongoing investment challenges. These efforts align closely with the objectives of Saudi Vision 2030 and the National Investment Strategy, ensuring continued momentum towards economic diversification and sustainable growth.
