
Non-profit sector contributes over $26.66bln to Saudi economy for first time
RIYADH — The Saudi non-profit sector has exceeded, for the first time in its history, the ceiling of SR100 billion in economic contribution, equivalent to 3.3 percent of the gross domestic product (GDP). This was revealed in a Non-Profit Sector Outlook report titled "Prospects for the Non-Profit Sector 2025," prepared by the King Khalid Foundation.
The report highlighted key contributions within the sector: Endowments accounted for SR 48 billion, according to the General Authority for Awqaf, while non-profit organizations contributed SR 47 billion in spending, based on data from the General Authority for Statistics (GASTAT).
Additionally, volunteering added an estimated SR 5 billion in economic value, while cooperative societies contributed SR 2 billion, according to the Ministry of Human Resources and Social Development.
The sector's rapid growth is on track to achieve the Vision 2030 target of reaching 5 percent of GDP two years ahead of schedule. Education and research organizations led the sector in revenue generation, surpassing SR19 billion, while health organizations recorded the highest spending at SR15 billion, driven by the conversion of government assets in health and education into non-profit entities. Meanwhile, organizations focused on culture, entertainment, and social services reported the highest employment rates.
The report also examined funding sources, emphasizing the role of government support and digital donation platforms, which collectively raised over SR15 billion in 2024.
The National Platform for Charitable Work (Ehsan) saw a significant contribution from small donors (SR1, SR10, and SR100), while major philanthropists (donations of SR100,000 or more) accounted for 26 percent of total contributions.
At the community level, the report monitored citizens' positive engagement in non-profit work through volunteering and donation, as 23% of citizens volunteered, while 47 percent of citizens donated during 2024. This indicates the community's interest in practicing social responsibility as a way of life. This was reflected in their confidence rates in the non-profit sector, which reached 86 percent of Saudis at present compared to 73 percent in 2017.
It is worth noting that the Non-Profit Sector Outlook Report is the first reference report in the Kingdom on the status of the Saudi non-profit sector and its economic and developmental contributions.
© Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info).
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Campaign ME
an hour ago
- Campaign ME
Brand building needs more than just algorithms
Why have so many brands abandoned the dream phase of communications planning? For too long, brands have been chasing short-term wins, obsessing over conversions and putting brand building in the back seat. According to a survey by Ebiquity and the World Federation of Advertisers (WFA), 42 per cent of global advertisers plan to increase their share of performance marketing in 2025, up from 21 per cent in 2024. In contrast, only 24 per cent intend to increase their share of branding efforts. This shift is driven by the need for immediate results and the growth of retail media and connected TV. It is understandable. The lower funnel means numbers I can show in a boardroom full of big questions. I wish I could count the times I've heard, 'they're easy to measure', 'they're quick to optimise' or 'they build momentum'. Do you mean the illusion of momentum? Because real momentum means real growth. Real growth never comes from tactical wins alone. For decades, what has been – and most likely always will be – real growth comes from building brands that inspire, connect and endure. Take destinations, for example. They exist in people's imaginations for a long time before they watch a 'Top 10 Things To Do' video or visit People form a relationship with a destination long before they even get there, through billboards, videos, influencers and even films and TV shows. There's a deep connection that's forged through powerful storytelling and immersive brand presence over time. It's through emotional resonance that withstands the clutter of flash sale banners or retargeted ads and comes out on top. Why? Because a destination isn't just a place you're trying to sell; it's a feeling you're unlocking. Feelings aren't bought with performance metrics alone. They can, however, be earned through brand building. This isn't to say brand and performance are opposing forces. In fact, it's often overlooked that they are partners – and when they work together, innovation can thrive. Put simply, a brand builds desire; performance captures it. Having one without the other is like trying to ride a bicycle on one wheel – it's not impossible, it just won't get you there optimally. This is particularly important, given that we have entered a new media reality. To inspire and to derive action are no longer conveniently sitting in separate stages of the funnel. Look at today's audiences: they expect to be moved and motivated, often in the same scroll. Content needs to inspire and convert in one experience. Those who have crafted that balance are leading the way. In the past few years, Visit Saudi has done an excellent job of building a brand, a dream, a destination – and they've done this at speed. They have a clear vision statement: 'To inspire pride by sharing Saudi with the world, captivating their hearts, minds and imaginations.' In my opinion, they've delivered on that ambition. It's noticeable through their immersive content and unique messaging that have built a strong narrative. This transformed the tourism landscape and turned travellers' heads towards Saudi, creating the type of consideration that has taken other destinations an entire generation to build. It's evident when you look at Saudi Arabia's Ministry of Tourism data. Even with Covid pausing travel for two years, Saudi still saw 44.06 million inbound visitors in 2022 and 2023. This is a testimony to the 'bothism' that we see in industry commentary, and indeed to the large body of evidence that speaks to both long- and short-term investments. Companies that continue to invest in brand – especially during challenging times – are the ones that will bounce back faster, stronger and with greater loyalty from consumers who already feel emotionally connected. Without a strong presence to anchor the strategy, the funnel eventually dries up, and no amount of retargeting will save a brand people have forgotten – or never cared about in the first place. Many brands such as adidas, Uber and Airbnb have jumped back on the brand-building wagon and have reaped the rewards. These are brands that continue to build not just awareness, but advocacy. Not just bookings, but belief; not just visits, but lifelong memories. There are no shortcuts in this journey. To get to their destination in the best conditions, brands need to marry the performance focus in the lower funnel with activating the dream state in the upper funnel. Ephemeral sales may come from algorithms, but durable brand appeal is built on emotion. Brands need both to thrive sustainably. By Sara Daher, Executive Director, PHD Media


Web Release
19 hours ago
- Web Release
The Ministry of Investment for Saudi Arabia shows support for new health and fitness event
The Ministry of Investment for Saudi Arabia and its Sport Sector Team have signed an investment agreement with RX Arabia to support the successful launch of FIBO Arabia in the Kingdom, which will debut at the Riyadh Front Exhibition & Conference Center from 1-3 October 2025. The sports and fitness industry in Saudi Arabia continues to gain considerable momentum. Organised by RX, a global leader in events and exhibitions, and under the theme for a strong and healthy society, FIBO Arabia is already 60% sold out following a successful sales launch at FIBO's flagship tradeshow in Cologne, Germany last month. There, 1,200 exhibitors and partners from 60 nations and 154,748 visitors from 129 countries were welcomed. The launch of FIBO Arabia coincides with the Saudi government's significant support for investing in the country's sports sector as part of the Kingdom's 2030 strategy to diversify its economy. The government aims to increase sports spending by US$22 billion by 2030, encompassing sports clubs, academies, sportswear and equipment, and sports facilities. Vasyl Zhygalo, Managing Director, Middle East and Emerging Markets, RX: 'We are honoured that the Ministry of Investment for Saudi Arabia is supporting the launch of FIBO Arabia. This underscores the importance of health and fitness to the Saudi Arabian government and highlights its investment-friendly attitude towards overseas entrepreneurs and progressive companies that want to invest in their health and fitness sector.' The country's focus on becoming a global sports hub is underscored by the announcement of major events to take place in Saudi Arabia, including the 2034 FIFA World Cup, the 2027 AFC Asian Cup, and the 2029 Asian Winter Games, which will provide a significant boost to its position as a global sports hub. Furthermore, according to Gymnation, which operates a chain of fitness centres in Saudi Arabia and the UAE, the Saudi fitness market is expected to grow at a compound annual growth rate (CAGR) of 9.7% between now and 2032 when the health and fitness market is projected to be worth US$2.28 billion. The growth in the market is largely attributed to government initiatives aimed at enhancing the population's quality of life and promoting physical activity, as well as a rise in health consciousness among the population. Basim K. Ibrahim, Sport Sector Investment Development Director, Ministry of Investment for Saudi Arabia, added: 'FIBO Arabia represents a pivotal platform in advancing Saudi Arabia's Vision 2030 goals by promoting a culture of fitness and wellness while also highlighting the Kingdom's growing potential as a hub for investment within this sector. With increasing emphasis on exercise, sports, and wellbeing across the Kingdom, the event provides a vital opportunity for international and local brands to showcase the latest innovations and technologies in the industry. We look forward to the positive impact FIBO Arabia will have on our communities and the exciting prospects it will unlock for the future.' Professional development will be a key focus of the show, with FIBO Arabia hosting a series of expert-led workshops, seminars, and keynote sessions. These continuing education opportunities are designed to equip attendees with the tools, insights, and certifications needed to thrive in today's rapidly evolving fitness and wellness landscape. From innovation and education to networking and live engagement, FIBO Arabia 2025 promises to be a must-attend event for anyone passionate about shaping the future of health, fitness, and wellness in the Middle East and beyond. For more information on FIBO Arabia, please visit


Zawya
a day ago
- Zawya
World Bank upgrades UAE's 2025 growth forecast to 4.6%, boosted by non-oil sector growth
The World Bank has revised the UAE's GDP forecast to 4.6% in 2025, up 0.6 percentage points from its January projection, with the country's non-oil sector emerging as a 'key contributor' for this growth. The UAE's growth forecast for 2026 has also been revised to 4.9% for 2026, up 0.8 percentage points from January, with the country's oil GDP expected to expand, reflecting a phasing out of OPEC+ decisions, the World Bank said in its latest 'Global Economic Prospects' report. 'Gradual resumption of oil production between May 2025 and September 2026, is expected to support oil GDP growth despite downward pressure on global oil prices,' the World Bank said, adding that the non-oil sector will have a projected expansion of 4.9% in 2025, supported by growth in tourism, construction, transportation, and financial services The momentum will continue into 2027, with a projected GDP growth forecast of 4.9%. According to previous year figures, the UAE recorded robust economic growth in 2024, driven by strong domestic demand, structural reforms, and targeted investments. In 9M 2024 the real GDP expanded 3.7% year-on-year, supported by a 4.5% expansion in the non-oil sector. The growth in 2025 has also been attributed to 'ongoing business climate reforms, infrastructure investments, and governance enhancements,' which have further supported economic diversification and competitiveness,' the report said. 'However, key sectors such as logistics may be impacted by ongoing trade uncertainties and disruptions.' On Tuesday, the bank cut its global growth forecast for 2025 by 0.4 percentage points to 2.3%, saying that higher tariffs and heightened uncertainty posed a 'significant headwind' for nearly all economies. The bank lowered its forecasts for nearly 70% of all economies, including the US, China and Europe, as well as six emerging market regions, but ruled out a global recession. Meanwhile, GCC economies will grow 3.2% for 2025, 4.5% for 2026, and 4.8% for 2027. (Writing by Bindu Rai, editing by Daniel Luiz)