Saudi Arabia is preparing to enter the third phase of Vision 2030 in 2026, having achieved 93% of its targeted performance indicators. This phase comes after years of economic and social reforms that have contributed to reshaping the national economy, according to the annual report for Vision 2030 for the year 2025.
Vision 2030 consists of three executive phases, each lasting five years, with each generation building on the achievements of the previous one. The first phase, which took place between 2016 and 2020, saw the establishment of legislative and institutional foundations, including the issuance of laws and regulations, the establishment of new entities, and the restructuring of the Public Investment Fund to become a key driver of the economy.
Details of the Event
During the second phase, from 2021 to 2025, there was an acceleration in the implementation of national strategies across sectors and regions, with the Kingdom investing in growth opportunities arising from economic transformation. According to official data, 93% of the performance indicators for the Vision programs met or exceeded their annual targets, with 309 out of 390 activated indicators achieving their interim goals.
The data also showed that 52 indicators were close to achieving their targets, with completion rates ranging from 85% to 99%. In terms of initiatives, 1290 initiatives were activated, with 935 completed, while 225 other initiatives are on track, indicating that 90% of the initiatives are either completed or nearing completion.
Background & Context
Economic data for 2025 recorded a growth in real GDP of 4.5% compared to 2024, marking the highest annual growth for the economy in three years. Additionally, non-oil activities now account for more than half of the national economy, reflecting the success of diversification efforts.
In the labor market, the unemployment rate among Saudis fell to 7.2% by the end of 2025, down from 12.3% at the end of 2016, an improvement attributed to the growth of economic sectors and labor market reforms. The inflation rate remained stable at 2.0% during the same year.
Impact & Consequences
Regarding credit ratings, global rating agencies maintained their positive assessments of Saudi sovereign debt, with Moody's assigning an AA3 rating with a stable outlook, while both Fitch and Standard & Poor's granted an A+ rating with a stable outlook.
International institutions have varying forecasts for Saudi economic growth in the coming years, with the International Monetary Fund predicting a growth rate of 3.1% in 2026 and 4.5% in 2027. Meanwhile, the World Bank anticipates growth rates of 4.3% and 4.4% for the same years.
Regional Significance
Vision 2030 is seen as a model for other Arab countries, as many nations seek to implement similar reforms to enhance economic growth and sustainable development. Saudi Arabia's success in achieving its goals could encourage other countries to take similar steps.
In conclusion, Vision 2030 enters its third phase with continued long-term goals, adapting implementation methods to meet the requirements of the new phase. Official documents indicate that the governance framework and regular monitoring of performance indicators will continue to serve as a key tool for measuring progress and correcting the course amid global economic changes.