Saudi Arabia's GDP contracts 3.3% in Q1 on oil output, non-oil economy recovers

Overall GDP was hurt by a 12% decline in ongoing crude oil production cuts agreed by OPEC and other members

  
Riyadh skyline, financial district seen along King Fahd Road, Riyadh, Saudi Arabia. Image used for illustrative purpsoe.

Riyadh skyline, financial district seen along King Fahd Road, Riyadh, Saudi Arabia. Image used for illustrative purpsoe.

Getty Images

DUBAI: Saudi Arabia's economy shrank 3.3% in the first quarter from a year earlier, hit by oil output cuts, but the non-oil economy expanded 3.3%, recovering from the pandemic, according to flash government estimates on Monday.

The non-oil sector grew for the first time since the first quarter of 2020, the General Authority for Statistics in Saudi Arabia said in a statement. Government services also showed growth of 0.3% in the first quarter.

Overall GDP was hurt by a 12% decline in ongoing crude oil production cuts agreed by OPEC and other oil producers since May 2020, it said.

(Reporting by Saeed Azhar; Editing by Alex Richardson) ((Saeed.Azhar@thomsonreuters.com; +971 44536787; Reuters Messaging: saeed.azhar.reuters.com@reuters.net))

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