Saudi Arabia’s trade in services achieved SAR540 billion ($144 billion) in 2023, showcasing an annual growth rate of 7 percent, as reported by the Kingdom’s Minister of Commerce, Dr. Majid Al-Kassabi.
Global significance of services sector
During a session on Trade in Services at the World Economic Forum 2025 in Davos, Al-Kassabi underscored the global importance of the services sector, which represents approximately 65 percent of the world’s gross domestic product (GDP), accounts for 60 percent of foreign investments, and serves as the largest source of employment globally, with particular advantages for women. He stressed the necessity for international cooperation to minimize regulatory and procedural barriers in the services domain. Simplifying these systems, he noted, would further enhance competitiveness and reduce burdens on small and medium enterprises (SMEs), thereby increasing their economic contributions.
Saudi Arabia’s investments in digital infrastructure
Dr. Al-Kassabi outlined the significant investments made by Saudi Arabia in digital infrastructure, revealing that SAR 93.7 billion has already been spent, with an additional SAR 75 billion earmarked for future initiatives. These investments are aimed at supporting digital transformation, improving businesses, and attracting foreign investments. He also pointed out that the Kingdom has formed partnerships with international organizations to create legislative frameworks that safeguard investments and promote human resource development, including the establishment of a Center for Distinguished Residence to draw skilled talents.
Collaboration between public and private sectors
Moreover, the World Economic Forum highlighted the essential role of collaboration between the public and private sectors for the future of trade in services. It emphasized its partnership with the National Competitiveness Center on the Facilitating and Developing Trade in Services initiative, which concentrates on key sectors such as information and communications technology (ICT), finance, transportation and logistics services, and mining. These sectors are crucial as they support all economic activities.
