E-commerce in Saudi Arabia grows by 9%, with anticipated revenues in the billions
Recent data released by the Ministry of Commerce to the Okaz newspaper reveals the continued upward momentum in Saudi Arabia's e-commerce sector. Commercial registrations for businesses engaged in this activity saw a remarkable 9% growth by the end of the fourth quarter of 2025, bringing the total number of registrations to 43,854. This growth reflects the success of the Kingdom's strategic plans to promote digital transformation and diversify its sources of income.
Record growth indicators and historical context
The Ministry explained, based on data from the E-Commerce Council, that the sector not only witnessed instant growth, but also achieved a compound annual growth rate of 15% during the period from 2020 to 2025. The roots of this rapid expansion can be traced back to the robust digital infrastructure established by the Kingdom within Vision 2030, in addition to the radical change in consumer behavior that began to take clear shape since 2019, as the number of users of electronic platforms increased by 42% between 2019 and 2024. This transformation was not a coincidence, but rather was supported by the widespread availability of internet and smartphone services, and the development of reliable digital payment solutions.
Advanced global standing and high competitiveness
Commenting on these figures, Dr. Fawaz Al-Alimi, Chairman of the National Committee for Strategic Economic Companies at the Federation of Saudi Chambers, attributed this increase to the significant strides the Kingdom has made in global indicators. Saudi Arabia ranked 25th globally in the E-commerce Maturity Index last year and ranked fifth globally as the best-performing emerging economy in this field. The Kingdom also advanced to become the 25th largest global e-commerce market, further solidifying its position as a key player in the global digital economy.
Al-Alimi added that Saudi Arabia’s advancement to 16th place globally in the competitiveness index, and fourth place globally in the e-services index (and first regionally), reflects a stimulating and attractive legislative and regulatory environment for investments.
Huge investments and logistical infrastructure
Al-Alimi pointed out that this progress is a natural result of massive investments that have increased by over 400% in the past five years, driven by unlimited government support for legislative development, the automation of government services, and the implementation of governance standards. He emphasized that the high percentage of the population living in cities, coupled with rising disposable income, has contributed to the increase in the number of e-commerce users and raised the average value of their shopping basket.
Future prospects and economic impact
The importance of these figures goes beyond the direct commercial dimension to the core of the national economy, as official forecasts indicate that e-commerce revenues will reach 260 billion riyals by 2030. This huge figure confirms that e-commerce has become a fundamental pillar of the non-oil economy, and a major driver of the logistics and transportation sector, which enhances the creation of new job opportunities and supports entrepreneurs and small and medium enterprises in reaching wider segments of customers locally and internationally.
