GCC non-oil economy contributes $1.51 trillion to GDP
Financial services and transport lead sectoral growth despite energy slowdown
RIYADH, Saudi Arabia (MNTV) — The Gulf Cooperation Council’s non-oil sector added $1.51 trillion to the region’s gross domestic product in 2023, underscoring the bloc’s continued push for economic diversification despite lower energy revenues.
According to figures released by the GCC Statistical Center, the bloc’s total GDP at current prices stood at $2.14 trillion, a 2.7 percent decline from $2.2 trillion in 2022. The slowdown was driven by weaker oil receipts, which contributed $604 billion to overall output.
Non-oil activities, however, expanded strongly, raising their share of the economy to 71.5 percent in 2023, up from 65 percent a year earlier.
The sector recorded a year-on-year increase of 6.4 percent, highlighting the resilience of services and industry amid fluctuating energy markets.
Over the past five years, mining and quarrying have remained the single largest contributor to the region’s GDP, accounting for an average of 28.3 percent.
Within the non-oil economy, manufacturing activities led with an average contribution of 11.7 percent.
Several industries posted notable growth in 2023. Financial and insurance services expanded by 11.7 percent, transportation and storage by 11.6 percent, and real estate by 8.1 percent.
Public administration and defense grew 7.9 percent, wholesale and retail trade rose 7.6 percent, while education advanced 5.5 percent, reflecting broad-based gains across key sectors.
Despite the strength in services, mining and quarrying contracted sharply by 18.8 percent and manufacturing slipped 0.7 percent.
Even so, investment and consumption trends provided important support. Exports of goods and services reached $1.26 trillion, equal to nearly 60 percent of GDP, while final consumption expenditure grew 7.5 percent to $1.25 trillion.
Gross capital formation, covering investments in fixed assets, increased 5.5 percent to $601.8 billion.
The figures illustrate the GCC’s gradual transition toward a more diversified and sustainable growth model, with non-oil activities increasingly driving regional economic performance.
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