Saudi Arabia's Military Spending Reaches $75.8 Billion in 2024, with Ambitious Goals for Defense Industry Localization
Saudi Arabia allocates $75.8 billion for military spending in 2024, with plans to localize over 50% of defense spending by 2030, according to GAMI chief.
Saudi Arabia’s military spending has risen to $75.8 billion in 2024, marking a 4.5 percent annual increase since 1960, and representing 3.1 percent of global defense expenditure.
This was revealed by Ahmed bin Abdul Aziz Al-Ohali, governor of the General Authority for Military Industries (GAMI), at the fourth Global Strategies in Defense and Aerospace Industry Conference in Antalya, Turkey.
Al-Ohali also highlighted that Saudi Arabia has allocated $78 billion for military spending in its 2025 budget, representing 21 percent of government expenditure and 7.19 percent of the country’s GDP.
In alignment with Saudi Vision 2030, which aims to reduce reliance on oil and diversify the economy, the Kingdom is focusing on expanding its defense sector.
The goal is to localize over 50 percent of military spending by 2030. Al-Ohali underscored the growing investment opportunities in the military industries sector and the importance of strategic partnerships, particularly with Turkey, in furthering the development of the sector.
GAMI has rolled out initiatives designed to attract both domestic and foreign investment to support the defense industry.
Among the efforts are the creation of 74 supply chain opportunities, 30 of which are prioritized and represent 80 percent of future military expenditure on supply chains.
Additionally, GAMI is supporting small and medium-sized enterprises in the defense sector, both locally and internationally, to foster a robust industrial base.
Al-Ohali also noted that Saudi Arabia had localized 19.35 percent of its military spending as of 2024, a significant increase from just 4 percent in 2018. The number of licensed entities in the military sector has risen to 296 by the third quarter of 2024. Saudi Arabia’s growing military and industrial presence is central to its efforts to position itself as a key player in the global defense sector, reinforcing the objectives of Vision 2030.
This was revealed by Ahmed bin Abdul Aziz Al-Ohali, governor of the General Authority for Military Industries (GAMI), at the fourth Global Strategies in Defense and Aerospace Industry Conference in Antalya, Turkey.
Al-Ohali also highlighted that Saudi Arabia has allocated $78 billion for military spending in its 2025 budget, representing 21 percent of government expenditure and 7.19 percent of the country’s GDP.
In alignment with Saudi Vision 2030, which aims to reduce reliance on oil and diversify the economy, the Kingdom is focusing on expanding its defense sector.
The goal is to localize over 50 percent of military spending by 2030. Al-Ohali underscored the growing investment opportunities in the military industries sector and the importance of strategic partnerships, particularly with Turkey, in furthering the development of the sector.
GAMI has rolled out initiatives designed to attract both domestic and foreign investment to support the defense industry.
Among the efforts are the creation of 74 supply chain opportunities, 30 of which are prioritized and represent 80 percent of future military expenditure on supply chains.
Additionally, GAMI is supporting small and medium-sized enterprises in the defense sector, both locally and internationally, to foster a robust industrial base.
Al-Ohali also noted that Saudi Arabia had localized 19.35 percent of its military spending as of 2024, a significant increase from just 4 percent in 2018. The number of licensed entities in the military sector has risen to 296 by the third quarter of 2024. Saudi Arabia’s growing military and industrial presence is central to its efforts to position itself as a key player in the global defense sector, reinforcing the objectives of Vision 2030.