Saudi Arabia Emerges as MENA’s Largest Digital Economy, Driving AI and Innovation under Vision 2030
Riyadh, The Gulf Observer: Saudi Arabia has firmly established itself as the largest digital economy in the Middle East and North Africa (MENA) region, according to a new report released in conjunction with World Telecommunication and Information Society Day, observed annually on May 17.
Valued at over SR495 billion, the Kingdom’s digital economy now represents 15 percent of its gross domestic product (GDP). This milestone reflects the nation’s continued strides in artificial intelligence (AI), data centers, digital governance, and human capital development, aligning closely with the transformative objectives of Saudi Vision 2030.
The telecommunications and information technology (ICT) market in Saudi Arabia saw unprecedented growth in 2024, exceeding SR180 billion, driven by robust private sector investment and an emphasis on technological innovation. These efforts have positioned Saudi Arabia as the largest technology market in the MENA region.
In support of its knowledge-based economy, the Kingdom has invested more than SR55 billion in AI technologies and data centers, positioning itself as a regional hub for future industries. This forward-looking approach has significantly boosted the nation’s digital infrastructure and talent pool, contributing to the creation of over 381,000 quality jobs in the technology sector.
On the global stage, Saudi Arabia continues to excel in digital governance. It ranked sixth worldwide in the United Nations E-Government Development Index, fourth in the Digital Services Index, second among G20 countries, and first in the MENA region. Additionally, the Kingdom achieved first place globally in sub-indicators such as digital skills and open digital government, and seventh worldwide in the E-Participation Index.
These achievements underscore Saudi Arabia’s commitment to digital transformation, economic diversification, and becoming a global digital powerhouse, all while fostering innovation and empowering its citizens in the smart economy era envisioned by Vision 2030.
