Saudi Arabia’s non-oil revenues rose 7 percent to SAR149.861 billion ($39.93 billion) in the second quarter of 2025, according to the Ministry of Finance’s quarterly budget performance report.
Oil revenues fell 29 percent year-on-year to SAR151.734 billion ($40.43 billion), marking a major milestone in Saudi Arabia’s efforts to diversify its economy away from oil. The non-oil sector now accounts for around half of the government’s revenues.
Revenues hit SAR565.21 billion in H1
The decline in oil revenues, however, drove a 15 percent decline in Saudi Arabia’s total revenues from SAR353.592 billion in Q2 2024 to SAR301.595 billion in Q2 2025.
During the first half of 2025, Saudi Arabia’s revenues stood at SAR565.21 billion, around half the targeted annual revenue for 2025 of SAR1.184 trillion.
Several segments drove growth in Saudi Arabia’s non-oil revenues in Q2, including taxes on goods and services, which accounted for SAR 74.95 billion. Other revenues followed next, contributing SAR28.86 billion.
Other taxes reached SAR25.99 billion, while taxes on income, profit and capital gains generated SAR13.72 billion. In addition, taxes on international trade and transactions contributed SAR6.32 billion.
Read: World food prices hit two-year high in July 2025, says FAO
Expenditures fall 9 percent to SAR336.129 billion
In Q2 2025, Saudi Arabia’s expenditures fell 9 percent to SAR336.129 billion from SAR368.932 billion in Q2 2024. The segments witnessing the largest declines were grants, subsidies and non-financial assets. Meanwhile, compensation to employees rose 0.4 percent to SAR140.4 billion and financing expenses grew 11 percent.
Saudi Arabia ended the second quarter of 2025 with a budget deficit of SAR34.534 billion, raising the first half’s total deficit to SAR93.23 billion. Public debt reached SAR1.386 trillion.
