Sustainable Growth And Development Milestones Drive Economic Success In Madinah Region

The Al Madinah Al Munawwarah Chamber of Commerce has released its first quarterly economic report for 2025. This report provides a detailed analysis of key economic indicators at global, national, and local levels. It highlights the swift economic changes in the Madinah Region and its increasing contribution to Saudi Arabia's national economy.

The report reveals significant progress in large-scale development projects within the Madinah Region. Currently, there are about 213 projects underway, valued at over SAR210 billion. These include 188 private-sector initiatives and 15 government projects. The investment land area for these projects exceeds 15 million square meters, with expectations of creating over 119,000 future jobs.

Madinah Region's economy showed positive trends, with its GDP reaching SAR57.6 billion in Q3 2024. This marks a 2.8% growth compared to the same quarter in the previous year. The region also recorded the second-highest growth in domestic demand at 11%, based on point-of-sale data, following Riyadh.

The real estate sector in Madinah experienced a surge, with trading volumes reaching SAR10 billion during 2024. Additionally, the unemployment rate decreased to 8.4% in Q4 2024 from 10.3% in the previous quarter. The number of employees exceeded 458,000, with significant activity in construction, trade, and manufacturing sectors.

In terms of sectoral contributions, the commercial sector leads with 153 projects. This is followed by mixed-use residential-commercial developments with 27 projects. Other sectors such as health, education, tourism, and religious activities also play vital roles in the region's economic landscape.

Mazen bin Ibrahim Rajab, Chairman of Al Madinah Al Munawwarah Chamber of Commerce, stated that this report underscores their commitment to supporting investors by providing essential data for informed decision-making. He emphasized efforts to enhance the investment climate in the region.

Alignment with Saudi Vision 2030

The chamber aims to stimulate economic development in alignment with Saudi Vision 2030 goals. Rajab noted that Madinah Region’s competitive advantages and promising sectors make it an ideal environment for growth both locally and nationally.

The chamber seeks to provide analytical data that aids decision-makers while serving investors and entrepreneurs interested in investing within the region.

With inputs from SPA