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JEDDAH: ��������’s agricultural sector contributed $31.5 billion to the country’s gross domestic product in 2024, driven by rising production and initiatives that strengthened food self-sufficiency, according to official data. 

Total agricultural and food production exceeded 16 million tonnes last year, reflecting progress toward building resilient, sustainable food systems, the Ministry of Environment, Water and Agriculture said in a release. 

Despite roughly 90 percent of the country being desert, �������� has expanded domestic crop production and reduced reliance on imports. The Kingdom has already reached full self-sufficiency in dates, fresh dairy products, and table eggs. 

Speaking at the 42nd Saudi Agriculture Exhibition in Riyadh, Ali Al-Zahrani, director of MEWA’s National Agriculture Strategy Implementation Department, said the sector has grown at a compound annual rate of more than 7 percent over the past five years.  

Al-Zahrani said the country’s agriculture strategy has played a key role in developing ��������’s agricultural sector and addressing major challenges over the past years, including water scarcity, harsh climatic conditions, low productivity in certain areas, and difficulties in marketing and distributing agricultural products. 

“He explained that the strategy sets clear objectives to ensure the sustainability of the agricultural sector and enhance its contribution to food security, economic growth, and social and environmental development,” the release added, citing the official. 

Al-Zahrani added that this is achieved through the effective management of natural resources, adoption of innovative agricultural technologies, protection of farming systems and food safety, empowerment of small farmers, as well as the development of national capacities and expansion of investments and international partnerships.  

He pointed out that the ministry has launched 38 pioneering national initiatives under the strategy, including 11 to boost agricultural productivity, and five to restructure the sector and build capabilities, as per the ministry’s statement. 

The strategy includes five initiatives to support sustainable rural development programs, another five to strengthen plant and animal health under a One Health approach, and four to build resilient and sustainable food systems.  

Three initiatives, the official added, focus on enhancing natural resource sustainability and climate adaptation, while three others aim to improve marketing and agricultural services. 

In addition, two initiatives are designed to protect local products and promote exports, further supporting the sector’s growth and contribution to ��������’s food security and economic development goals. 

He added that the implementation of efficient irrigation systems has reduced the use of non-renewable water in agriculture by 52 percent compared with 2016, while soft agricultural loans from the Agricultural Development Fund have exceeded $1.9 billion. 

He highlighted investment opportunities for the private sector in plant and animal production, including integrated seed and seedling production projects, fruit and vegetable processing, intensive livestock farming, aquaculture, and large-scale poultry production. 

Al-Zahrani noted that the total domestic fruit production, including dates, surpassed 2.9 million tonnes, achieving 64 percent self-sufficiency, while vegetable production exceeded 3.5 million tonnes, reaching 78 percent self-sufficiency, with significant expansion of greenhouse systems alongside traditional open-field farming. 

The statement concluded that the ministry continues to offer incentives, including streamlined land rental and simplified licensing, to encourage investment and the adoption of innovative, sustainable agricultural practices. 

RIYADH: Oman’s broad money supply expanded 6.1 percent year on year to 25.8 billion Omani rials ($67.1 billion) at the end of August, supported by stronger deposit growth and increased liquidity in the banking system, official data showed. 

According to the Central Bank of Oman, the rise was driven by a 6.9 percent increase in narrow money and a 5.8 percent rise in quasi-money, which includes savings, time deposits, and foreign currency deposits. 

The expansion in money supply coincided with steady credit growth and rising deposits across both conventional and Islamic banks. Total outstanding credit extended by other depository corporations increased 8.6 percent year on year to 34.1 billion rials at the end of August. 

The expansion in monetary aggregates reflects sustained liquidity conditions and continued policy support for private sector lending as Oman advances its fiscal and economic reforms under the Vision 2040 strategy. 

In its Monthly Statistical Bulletin, the Central Bank of Oman stated: “The nominal GDP, as per the preliminary data released by the National Centre for Statistics and Information, showed an increase of 2.4 percent at end of first half of 2025 over the same period of 2024.”  

It added: The growth in GDP was mainly driven by the non-hydrocarbon sector. The non-hydrocarbon sector registered 4.1 percent growth, while the hydrocarbon sector declined by 0.2 percent.” 

Real gross domestic product grew 2.3 percent, while the hydrocarbon sector recorded a slight contraction of 0.2 percent. 

Currency held by the public declined 5 percent, while demand deposits rose 9.4 percent, reflecting higher banking activity and continued confidence in the financial system. 

In August, credit to the private sector expanded 6.5 percent to 28 billion rials, led by non-financial corporations, which accounted for 46.7 percent of total private sector credit, followed by households at 44.7 percent. 

Deposits with ODCs rose 7 percent to 33.3 billion rials, with private sector deposits up 7.5 percent to 22.4 billion rials. 

Households represented 50 percent of these deposits, followed by non-financial corporations at 30.6 percent, financial corporations at 17.2 percent, and other sectors at 2.2 percent. 

The combined balance sheet of conventional banks grew 7.3 percent from a year earlier, with total outstanding credit reaching 21.4 billion rials. 

Investments in government development bonds increased 12 percent to 2.2 billion rials, while holdings of foreign securities declined 7 percent to 2.3 billion rials. 

Aggregate deposits with conventional banks rose 5.5 percent to 26.1 billion rials, driven by a 9.6 percent increase in government deposits and a 6.1 percent rise in private sector deposits. 

Islamic banks and windows continued to expand at a faster pace, with total assets up 15.1 percent year on year to 9.1 billion rials, representing 19.7 percent of total banking system assets. 

Financing by Islamic institutions reached 7.3 billion rials, up 13.5 percent, while total deposits grew 12.9 percent to 7.2 billion rials. 

Interest rates continued to ease in line with global trends. The weighted average interest rate on Omani rial deposits with conventional banks declined to 2.53 percent at end-August 2025 from 2.70 percent a year earlier, while the weighted average lending rate fell to 5.49 percent from 5.60 percent.   

The overnight interbank lending rate decreased to 4 percent from 5.13 percent, reflecting the CBO’s reduction of the average repo rate to 5 percent from 6 percent, in line with the US Federal Reserve’s policy direction.