By: Arab News

Saudi Arabia’s Operating Revenue Index rose 11.4 percent year on year in May, driven by strong gains in mining and manufacturing, in the latest sign that business activity remained resilient. 

Data released by the General Authority for Statistics showed mining and quarrying activities recorded the strongest annual increase at 38.7 percent, followed by manufacturing at 9.6 percent. 

Financial and insurance activities also posted strong annual growth of 12.9 percent, followed by wholesale and retail trade, including repair of motor vehicles, at 3.6 percent, and construction activities at 2.5 percent. 

These figures underscore continued momentum across Saudi Arabia’s business sector as the Kingdom advances its Vision 2030 economic diversification agenda. 

GASTAT said in June that the Kingdom’s real gross domestic product expanded by 3 percent year on year in the first quarter of 2026, driven by 2.9 percent growth in both oil and non-oil activities, underscoring the broad-based nature of the recovery. 

In its latest report, GASTAT said: “On a monthly basis, the Operating Revenues Index increased by 2.9 percent, affected by a 0.6 percent increase in manufacturing activities, a 10.2 percent increase in mining and quarrying activities, a 1.3 percent increase in wholesale and retail trade; repair of motor vehicles and motorcycles activities, and increases of 1.1 percent and 1.9 percent in financial and insurance activities and information and communication activities, respectively.” 

Transportation and storage recorded a 9.5 percent annual increase, while arts, entertainment and recreation and accommodation and food service activities grew 9.1 percent and 8.2 percent, respectively. Real estate activities rose 5.8 percent, followed by administrative and support service activities at 5.5 percent and information and communication at 4.8 percent.

Employees Compensation Index

According to the report, the Employees Compensation Index rose 9.8 percent year on year in May, driven by strong gains across major industries. Manufacturing led with an 11.4 percent increase, followed by financial and insurance activities at 12.8 percent and wholesale and retail trade, including the repair of motor vehicles, at 9.4 percent. Construction activities rose 7.6 percent, while mining and quarrying increased 5 percent. 

The growth in ECI was also supported by a 5 percent increase in mining and quarrying activities, and a 12.8 percent increase in financial and insurance operations. 

Compared with April, the ECI edged up 0.1 percent in May. The increase was driven by gains in wholesale and retail trade, which rose 0.5 percent, followed by mining and quarrying at 0.3 percent and transportation and storage at 0.1 percent. Information and communication activities and human health and social work activities increased 0.7 percent and 0.3 percent, respectively.

Building permits 

In May, the number of issued building permits decreased by 33.3 percent compared with the same month a year earlier, declining from 7,584 permits in May 2025 to 5,056 permits. 

Compared with April, the number of issued building permits decreased from 6,803 to 5,056 permits, marking a monthly decline of 25.7 percent. 

The figures point to continued strength across Saudi Arabia’s business sector, even as building activity softened during the month.