#Saudi Non-Oil Growth Fastest Since 2015 as Private Sector Heals - Bloomberg

Saudi Non-Oil Growth Fastest Since 2015 as Private Sector Heals - Bloomberg:

Saudi Arabia’s non-oil economic growth accelerated in the second quarter, a sign that the economy is shrugging off the effects of austerity measures that followed the collapse of crude prices five years ago.

Non-oil gross domestic product expanded almost 3%, the fastest pace since 2015. The kingdom’s oil GDP shrank due to production cuts as Saudi Arabia sought to stabilize crude prices. That caused overall economic growth to slow to 0.5%, according to official data released Monday.

The absence of fiscal measures to cut spending and bolster government revenue, as well as the “strengthening of investment momentum” are the key reasons for the improvement of business sentiment, said Monica Malik, chief economist at Abu Dhabi Commercial Bank.