The Kingdom of Saudi Arabia is set to become the fastest-growing major economy in 2023, according to recent estimates. This is largely due to the Kingdom’s gains from energy prices and its prioritization of capital spending in the 2023 budget.
The Saudi government is taking a proactive approach to fuel its growth. As part of Vision 2030, the government is investing heavily in infrastructure, technology, and social and online services. This includes the construction of new roads, airports, and other public works, as well as the development of new cities and industrial parks. It is also investing in renewable energy sources and diversifying its economy away from oil and gas. This strategy is expected to pay off in 2023, when the Kingdom’s growth rate is estimated to be higher than India’s, with Saudi Arabia estimated to grow by 7.6 percent in 2022 and 3.7 percent in 2023 compared to India’s estimated growth of 7 percent in the fiscal year ending March 2023.
The Kingdom is also expected to benefit from rising global energy prices. Energy prices are currently at their highest levels in years, and this is likely to boost the Kingdom’s economy in 2023. The rising energy prices will mean more revenue for the government, which can then be used to fund initiatives outlined in Vision 2030.
Finally, the Saudi government has made strong efforts to open its economy to foreign investment. It has relaxed regulations on foreign direct investment and has made it easier for foreign companies to do business in the Kingdom. This has led to an influx of foreign capital, which is expected to further boost the Kingdom’s economy in 2023.
In short, Saudi Arabia is well-positioned to become the fastest-growing major economy in 2023. With its proactive approach to development, rising energy prices, and increased foreign investment, the Kingdom is set to reap the rewards of its strategic planning. It is likely that the Kingdom’s growth rate will continue to increase in the years to come, as it continues to reap the benefits of Vision 2030.