The Kingdom of Saudi Arabia’s flag
Saudi Arabia’s economic growth is seen at 3.1% in 2026, the World Bank said in its latest Global Economic Prospects report released in June, down 0.4% from its January projection. 
The Kingdom’s gross domestic product (GDP) is seen to accelerate by 0.5% to 4.9% in 2027, compared to the World Bank’s January 2026 forecast, before growth moderates to 3.7% in 2028.
World Bank Forecasts for Saudi GDP growth
Period
January 2026
June 2026
Change
2026
4.3%
3.1%
(1.2%)
2027
4.4%
4.9%
+0.5%
2028
—
3.7%
—
The World Bank said the closure of the Strait of Hormuz had caused severe disruptions to energy markets, and now expects Brent crude to average $94 a barrel in 2026, around 36% above 2025 levels, assuming the worst of the disruptions ease by July.
The slowdown in Saudi Arabia’s economy is expected to be less pronounced than elsewhere in the region, largely due to the Kingdom’s ability to reroute oil exports through the East-West crude pipeline, it added.
The Kingdom of Saudi Arabia’s flag
Saudi Arabia’s economic growth is seen at 3.1% in 2026, the World Bank said in its latest Global Economic Prospects report released in June, down 0.4% from its January projection.
The Kingdom’s gross domestic product (GDP) is seen to accelerate by 0.5% to 4.9% in 2027, compared to the World Bank’s January 2026 forecast, before growth moderates to 3.7% in 2028.
World Bank Forecasts for Saudi GDP growth
Period
January 2026
June 2026
Change
2026
4.3%
3.1%
(1.2%)
2027
4.4%
4.9%
+0.5%
2028
—
3.7%
—
The World Bank said the closure of the Strait of Hormuz had caused severe disruptions to energy markets, and now expects Brent crude to average $94 a barrel in 2026, around 36% above 2025 levels, assuming the worst of the disruptions ease by July.
The slowdown in Saudi Arabia’s economy is expected to be less pronounced than elsewhere in the region, largely due to the Kingdom’s ability to reroute oil exports through the East-West crude pipeline, it added.
