The Saudi fashion sector will record a compound annual growth of 48% from 2021 to 2025

Saudi Arabia’s Fashion Commission is playing a key role in building a more robust ecosystem to drive the sector’s growth, according to the General Authority of Small and Medium-sized Enterprises (Monsha’at) report for the first quarter (Q1) of this year.

According to a government report, Saudi Arabia’s fashion industry, which generated 1.4% of the kingdom’s GDP in 2022, will see a compound annual growth of 48% from 2021 to 2025. The domestic women’s clothing market will grow by 20% by 2027, while the men’s clothing market will grow by 27% during this period.

While the total value of Saudi Arabia’s fashion sector, including international brands, was $24.6 billion in 2022, the domestic fashion industry was worth $12.5 billion.

In 2022, the kingdom’s fashion industry employed over 230,000 people, and 52% of the sector’s workforce were women.

The report shows that the kingdom’s women’s clothing market will see 20 percent growth by 2027, while the men’s clothing market will grow by 27 percent over that period.

The report also highlights Saudi Arabia’s leading position in the venture capital market in the Middle East and North Africa, with an impressive SR900 million invested in start-ups in the first quarter of this year, representing 65% of the market share.

Fiber2Fashion Information Desk (DS)