Prime Highlights:
- Saudi Arabia’s Industrial Production Index (IPI) grew 9.3% year-on-year in September 2025, reflecting strong performance across mining, quarrying, and manufacturing sectors.
- The growth aligns with Vision 2030 goals to diversify the Kingdom’s economy beyond oil through expanded industrial output.
Key Facts:
- The mining and quarrying sector rose 11% annually as oil production increased to 9.97 million barrels per day, while manufacturing expanded 6.3%.
- The utilities sector grew 12.6% year-on-year, and overall oil-related activities climbed 10.1%, with non-oil activities up 7.3%.
Background
According to the General Authority for Statistics (GASTAT), the Industrial Production Index (IPI) of Saudi Arabia recorded a 9.3 percent year-on-year increase in September 2025, driven by higher activity in mining, quarrying, and manufacturing.
IPI increased to 116.1 in September relative to 113.9 in August, which signifies the overall industrial growth towards achieving the Vision 2030 plan to diversify the Kingdom’s economy beyond oil income.
The report by GASTAT stated that the growth was backed by improvements in key industrial sectors, such as mining and quarrying, manufacturing, utilities, and waste management.
The mining and quarrying sub-index jumped 11% year-on-year, following the government’s move to raise oil production to 9.97 million barrels per day, up from 8.97 million bpd a year earlier. The manufacturing sector also expanded 6.3% annually, boosted by a 6% increase in the production of coke and refined petroleum products and a 9.2% rise in the chemical manufacturing segment.
Monthly, mining and quarrying grew by 2.5%, and manufacturing rose by 1%, led by higher food processing and refined petroleum production.
The utilities sector also grew strongly, with electricity, gas, steam, and air conditioning supply rising 12.6% compared to last year. In the meantime, water supply and waste management operations rose 9.2% per year but fell 2.3% relative to August.
Overall, oil-related activities grew 10.1% in September, while non-oil activities rose 7.3% percent, underscoring the Kingdom’s balanced progress in both sectors.
