Saudi Arabia is urging for enhanced economic resilience and fortified defenses against potential global disruptions, as underscored by Finance Minister Mohammed Al-Jadaan during a G20 finance meeting held in the United States. Al-Jadaan emphasized the increasing vulnerabilities that the global economy faces and advocated for economies to bolster their capacity to endure shocks. This can be achieved by cultivating alternative production sources, maintaining adequate inventories, and ensuring that critical infrastructure possesses sufficient spare capacity.
Al-Jadaan further highlighted the importance of implementing policies that foster strong and sustainable long-term economic growth. He advised governments to pinpoint the primary constraints hindering growth and to adapt their policies in response to shifting economic conditions. Addressing global economic imbalances, Al-Jadaan proposed that trade surpluses and deficits should be evaluated alongside domestic financial conditions and the structural attributes influencing individual economies.
In addition, Al-Jadaan called for a more robust international strategy concerning sovereign debt. He emphasized that it is crucial for governments not only to address debt crises as they arise but also to prevent the build-up of debt that fails to yield sustainable economic or developmental advantages.
Saudi Central Bank Governor Ayman Al-Sayari shed light on the Kingdom’s economic resilience, noting that inflation remained controlled despite external challenges. In the first seven months of 2026, Saudi Arabia’s inflation rate averaged 1.8%. The Kingdom’s non-oil economy continued to flourish, driven by structural reforms, increased private-sector involvement, and investment. Domestic demand played a crucial role in promoting growth, supported by a stable labor market, government expenditure, and ongoing development initiatives.
Furthermore, Saudi Arabia’s overall unemployment rate hit a record low of 3.1% in the first quarter of 2026, with unemployment among Saudi nationals at 6.4%. Al-Sayari also pointed out that geopolitical tensions and disruptions to global trade and energy flows remain significant risks. However, he noted that the diversification of Saudi Arabia’s logistics and energy infrastructure has mitigated the impact of external disruptions.