Saudi Arabia's Non-Oil Trade with GCC Countries Reaches $2.9 Billion in May

Saudi Arabia’s total non-oil merchandise exports to Gulf Cooperation Council (GCC) countries reached SR10.99 billion ($2.9 billion) in May, a significant increase from SR8.43 billion in the same month last year, Arab News reported, citing official figures..

According to preliminary data from the General Authority for Statistics, during this period, merchandise imports from GCC countries saw a modest rise from SR6.03 billion to SR6.24 billion.

As a result, Saudi Arabia’s non-oil trade balance with the GCC saw a notable improvement, climbing to SR4.74 billion in May from SR2.40 billion a year earlier. The UAE continued to be Saudi Arabia’s largest non-oil trading partner within the GCC. Non-oil exports from the UAE to Saudi Arabia grew from SR4.90 billion in May 2023 to SR6.07 billion this year. Imports from the UAE also increased, rising from SR3.63 billion to SR4.54 billion. This led to an improved trade balance with the UAE of SR1.52 billion, up from SR1.26 billion last year.

Kuwait, however, experienced a decrease in its trade balance with Saudi Arabia, dropping from SR1.26 billion in May 2023 to SR571.4 million this year. This decline was largely due to a significant drop in re-exports, which fell from SR898.2 million to SR147.6 million, alongside a slight reduction in imports from SR158.5 million to SR114.6 million.

Oman saw a substantial improvement in its trade deficit with Saudi Arabia, narrowing to a deficit of SR239.3 million in May from SR887.1 million the previous year. This positive shift was driven by an increase in Omani exports to Saudi Arabia, which rose to SR384.4 million from SR289.8 million, coupled with a reduction in imports to SR623.7 million from SR1.18 billion.

Bahrain achieved a significant increase in its trade surplus with Saudi Arabia, reaching SR2.83 billion in May, up from SR555.2 million the previous year. This improvement was due to a dramatic rise in re-exports from Bahrain, which surged from SR1.16 billion to SR3.36 billion, while imports decreased from SR922.1 million to SR795.6 million.

In contrast, Qatar’s trade balance with Saudi Arabia declined, falling from SR204.9 million in May 2023 to SR56.9 million this year. This decline was attributed to a reduction in Qatari exports to Saudi Arabia, which fell to SR223.2 million from SR344.4 million, while imports from Qatar increased slightly to SR166.3 million from SR139.4 million.

Tariq Al Fahaam