Saudi non-oil business confidence rises 1.8% in June 2026

Saudi Arabia's Non-Oil Business Confidence Index rose 1.8% in June from May, the General Authority for Statistics said. The index, which measures sentiment among private-sector firms outside the oil industry, ticked up to a reading of 58.6, the authority reported.

The gain extends a gradual improvement in the non-oil economy, a central pillar of the government's Vision 2030 plan to reduce dependence on crude revenue. The sector has been a bright spot for the kingdom, with activity in tourism, construction, and manufacturing growing steadily over the past year.

The Business Confidence Index is based on a monthly survey of companies in the non-oil private sector. Respondents report their views on current business conditions, order books, and hiring plans, as well as their expectations for the next three months. A reading above 50 indicates expansion in sentiment.

The June data showed the overall index rose from 57.7 in May. The authority broke down the figure into sub-indices including current business situation, which rose, and expectations for the next quarter, which also improved. Specific sub-index numbers were not released in the summary.

Saudi Arabia's non-oil economy has been expanding at a healthy clip. The S&P Global Saudi Arabia Purchasing Managers' Index for the non-oil sector has consistently held above the 50 expansion mark this year, hitting 58.5 in May. The government's push to boost tourism, entertainment, and logistics has drawn foreign investment and created jobs.

Higher oil prices have given the government fiscal room to spend on infrastructure and social programs, which in turn supports private-sector demand. The kingdom posted a budget surplus in the first quarter of 2026, according to the Ministry of Finance, helped by crude revenue and non-oil income.

Business confidence is a leading indicator for investment and hiring. A sustained rise in the index suggests companies see stronger demand ahead and are more likely to expand capacity and add workers. The June reading adds to evidence that the non-oil sector is on a solid footing.

The General Authority for Statistics releases the Business Confidence Index on a monthly basis, typically in the first week of the following month. The July data is scheduled for early August.