GCC Economy Grows 3.3% in 2024, Driven by Non-Oil Sectors

The gross domestic product (GDP) of Gulf Cooperation Council (GCC) countries expanded by 3.3 percent at constant prices to reach $456.3 billion by the end of 2024, according to data released by the Gulf Statistical Center and reported by the Oman News Agency (ONA).

The report highlights the increasing contribution of non-oil sectors to the region’s economic output, with non-oil activities accounting for 70.6 percent of GDP in the fourth quarter of 2024. Oil-related activities made up the remaining 29.4 percent, underscoring the bloc’s continued diversification efforts.

At current prices, the region’s nominal GDP reached $587.8 billion, reflecting a 1.5 percent year-on-year growth. Of this, non-oil sectors contributed 77.9 percent, reinforcing the growing importance of non-hydrocarbon industries across the Gulf.

Qatar led the GCC in real GDP growth for 2024, registering a 4.5 percent increase, followed by the UAE at 3.6 percent and Saudi Arabia at 2.8 percent. Region-wide, real GDP rose by 2.4 percent, with non-oil GDP expanding 3.7 percent, while oil GDP contracted by 0.9 percent due to voluntary OPEC+ production cuts.

Key contributors to non-oil GDP included manufacturing, wholesale and retail trade, construction, finance, real estate, and public administration. Manufacturing alone accounted for 12.5 percent of the region’s nominal GDP, while retail trade made up nearly 9.9 percent.

In Saudi Arabia, the economy grew 1.3 percent for the year, with a stronger performance in the fourth quarter, which posted 4.4 percent growth compared to Q4 2023. Non-oil activities expanded by 4.6 percent during that period, offsetting a 4.5 percent decline in oil output. Increased government spending, up 2.6 percent, also supported growth, according to data cited by Reuters.

A significant portion of Saudi Arabia’s non-oil economic performance came from the National Industrial Development and Logistics Program (NIDLP), which contributed SR986 billion ($262.8 billion) to non-oil GDP in 2024, representing 39 percent of the Kingdom’s non-oil output. Overall, non-oil activities accounted for 55 percent of Saudi Arabia’s total GDP last year.

The broader GCC strategy to reduce reliance on hydrocarbons is backed by major investments in tourism, logistics, manufacturing, and financial services, alongside regulatory reforms and large-scale infrastructure development.

National economic blueprints such as Saudi Vision 2030, the UAE’s Economic Vision, Qatar’s National Vision 2030, and Oman’s Vision 2040 are playing a pivotal role in steering the region toward sustainable, diversified growth.