Saudi Economy Contracts as Oil Output Cuts Weigh on Growth
Saudi Arabia's General Authority for Statistics reported that gross domestic product contracted 4.8 percent year on year in the second quarter of 2026 as voluntary OPEC+ production cuts sharply reduced oil sector activity. Oil-related output fell 24.7 percent, outweighing continued expansion in the non-oil economy and modest growth in government activities, underscoring the challenges of balancing economic diversification with oil market management.