Riyadh
In a significant boost to the digital economy, Saudi Arabia has witnessed a record surge in e-commerce registrations, with a notable increase of 17% during the first quarter of 2024. The total number of commercial registrations in this sector has risen to 38,850, up from 33,070 in the corresponding period last year, according to a report issued by the Ministry of Commerce.
The capital city of Riyadh leads with the highest number of e-commerce registrations, totaling 15,600. It is closely followed by Mecca with 9,897 registrations, and the Eastern Region with 6,129. The overall commercial registrations in the kingdom reached 104,000 for the quarter.
In a recent meeting held in Jeddah’s Chamber of Commerce, Dr. Majid bin Abdullah Al Qasabi, the Minister of Commerce, discussed with business community leaders, investors, and entrepreneurs several challenges and insights on enhancing the business environment. The focus was on sectors such as logistics, tourism, culture, retail, and manufacturing.
Minister Al Qasabi highlighted the continuous efforts to improve the legislative framework supporting business and investment. More than 70 legislations have been developed or updated since the launch of Vision 2030, including the Companies Law that encourages family businesses and startups. These efforts have propelled Saudi Arabia to rank 17th out of 64 countries in global competitiveness indices for 2023, marking its first entry into the top twenty and third among G20 nations.
The e-commerce sector in Saudi Arabia is estimated to be worth approximately SAR 80 billion. Salah Al Otaibi, director of the Saudi E-commerce and Online Marketing Expo, noted the sector’s rapid growth and the increasing interest from both consumers and investors. He pointed out that there are about 36,000 certified online stores on the “Maroof” platform, spanning various industries.
Al Otaibi also mentioned that the most successful e-commerce segments in Saudi Arabia include online sales platforms, digital marketing, logistics, and electronic payments, emphasizing the kingdom’s position as one of the fastest-growing economies in the world, bolstered by substantial governmental support for the promising e-commerce sector.
This growth is reflective of Saudi Arabia’s aggressive push to diversify its economy, reduce dependence on oil, and develop a robust digital infrastructure as part of its Vision 2030 goals.
