(MENAFN) The Saudi manufacturing sector, which currently contributes about 10 percent of the country's GDP, is expected to continue with its expansion due to the efforts made by the country to diversify its oil-based economy to include more sectors, Arab News reported.
The development of the manufacturing in the Kingdom is expected to be driven by large manufacturing entities, with their focus on asset-oriented and brand-oriented manufacturing, while manufacturing in technology and engineering will be driven by emerging SMBs, mostly established in industrial zones.
According to the latest report by International Data Corporation (IDC), this growth in the manufacturing sector will be helped by the sector's IT spending, which is expected to increase at a compound annual growth rate (CAGR) of 7.5 percent over the period between 2013"2018.
"The Saudi manufacturing sector is poised for significant growth and has the potential to become a technology-intensive industry, not only on an advanced regional level but also on a par with global competition in most areas," IDC said in its Manufacturing Insights report.
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