Saudi Arabia rises to 13th in global competitiveness ranking

Saudi Arabia jumped four places to rank 13th in the 2026 World Competitiveness Yearbook published by the IMD Competitiveness Center. The ranking is the highest the kingdom has achieved in the index, which measures 164 economies across four pillars: economic performance, government efficiency, business efficiency, and infrastructure.

The improvement reflects progress under Vision 2030, the government's long-term plan to diversify the economy beyond oil. The IMD cited stronger regulatory frameworks and physical infrastructure as major contributors to the gain, according to a summary of the report released Tuesday. The Kingdom's previous rank was 17th.

The new position places Saudi Arabia among the top 15 most competitive economies. The rise has been steady over the past several years, driven by reforms in business regulation, investment access, and public-sector efficiency. The government has set a target of breaking into the top 10 by 2030.

For investors, the higher rank strengthens the case for capital allocation to Saudi equities and fixed income. The Tadawul All Share Index has already drawn steady foreign inflows following index inclusion. An improved competitiveness score could accelerate that trend. For broader context on Saudi market trends, see our stock market analysis.

Saudi Arabia now ranks ahead of several large developed economies. The next yearbook release in 2027 will show whether the kingdom can sustain the climb.