Economic Growth of Saudi Arabia Between Present and Future According to 2030 Vision

Saudi Arabia follows a development strategy depending on many factors generating income, such as increasing non-oil investments, production and manufacturing for exports. Investing contributes mainly to diversify sources of income and generate more jobs where it is expected that the contribution of the private sector will enhance productivity in all sectors. These increased business productivities will increase the percentage annual growth rate to 5.2% in addition to increasing the added value of the oil sector.

Saudi Arabia implemented a lot of policies to be out of the oil control on their economies and this is taken up in the previous papers of growth factors in Saudi Arabia until 2014. But due to the need of less dependence on oil revenues and the need to diversify sources of income, especially in the period following the drop-in oil prices, it’s necessary to create added value to the economy of Saudi Arabia, through an econometric model that illustrates oil alternatives income. This paper is based on the analysis of different growth factors after exclusion of oil revenues using the Weighted Least Square.