Economic Growth - Saudi Arabia's GDP grew by 3.9% year-on-year in Q2, with non-oil activities increasing by 4.7%, surpassing oil activities' growth of 3.8% and government activities' growth of 0.6% [1] - Seasonally adjusted GDP growth for the quarter was 2.1%, up from 1.1% in the previous quarter [1] Non-Oil Sector Performance - The IMF report highlights the resilience of the Saudi economy, noting the expansion of non-oil economic activities and controlled inflation [1][5] - The PMI for July was recorded at 56.3, slightly down from 57.2 in June, indicating continued robust growth in the non-oil sector driven by output growth, new orders, and employment improvements [1] Trade and Exports - Non-oil exports reached 31.11 billion riyals in May, marking a 6% year-on-year increase, with the UAE being the largest export destination [1] Inflation and Consumer Prices - The CPI in June rose by 2.3% year-on-year, driven primarily by a 6.5% increase in housing, water, electricity, and gas prices [2] - Rent prices surged by 7.6%, with villa rents increasing by 7.1% [2] Employment Statistics - The overall unemployment rate in Q1 was 2.8%, with a decrease of 0.7% both year-on-year and quarter-on-quarter [3] - The labor force participation rate reached 68.2%, reflecting a 1.8% increase from the previous quarter [3] Fiscal Policy and Budget - Saudi Arabia continues to implement expansionary fiscal policies to support sustainable economic growth [4] - In the first half of the year, total fiscal revenue was 565.21 billion riyals, a 13% decrease year-on-year, with oil revenue down by 24% [4] - Non-oil revenue increased by 5%, accounting for approximately 50% of total revenue in Q2 [4] IMF Outlook - The IMF commended Saudi Arabia's strong performance amid global economic uncertainties and external shocks, maintaining an optimistic outlook for the economy [5]