Riyadh - Sharikat Mubasher: The gross fixed capital formation (GFCF) of the non-government sector in Saudi Arabia surpassed SAR 1 trillion in 2024, showing a 7.9% year-on-year (YoY) increase, according to recent figures.

The monthly bulletin of the Ministry of Investment (MISA) stated that the rise in non-government sector investments led to a 5.3% YoY increase in the Kingdom’s GFCG which exceeded SAR 1.17 trillion in 2024.  

On the other side, the GFCF of the government sector declined by 8.3% in 2024 to SAR 144.3 billion from SAR 157.4 billion in 2023.

The GFCF measures the net increase in physical assets within an economy. It is a crucial component of the gross domestic product (GDP) as it reflects capital accumulation supporting future production capabilities and economic growth.

It is worth noting that the National Investment Strategy (NIS) targets increasing the total annual GFCF to SAR 2 trillion by 2030, contributing 30% to GDP. It also targets SAR 1.7 trillion in domestic investments within the GFCF.