RIYADH: The localization rate of military industries in Saudi Arabia rose to 19.35% in 2024, surpassing the 2023 target of 12.5%, according to the latest figures from the localization rate index, a key indicator of Vision 2030.
The Kingdom aims to achieve a 50% localization rate in the military sector by 2030, highlighting significant progress toward self-sufficiency.
The index showed a sharp increase between 2021 and 2023, rising more than 12 percentage points in two years and exceeding annual targets.
Governor of the General Authority for Military Industries (GAMI) Eng. Ahmed Al-Ohali credited the success to the collective efforts of the authority and its partners across military, security, and private sectors since GAMI's establishment in 2017.
“This progress is the result of enacting sector-specific regulations, encouraging investor participation, and implementing supply chain projects to localize military spending and support the national economy,” Al-Ohali said.
Saudi Arabia’s military spending has steadily increased since 1960, reaching $75.8 billion by 2024. The Kingdom is now the fifth-largest military spender globally and the top spender in the Arab world.
Al-Ohali made his remarks during the 25th Global Defense and Aerospace Strategies Conference held in Antalya, Turkey.
The conference, organized by the Defense, Aerospace and Defense Industries Exporters Association (DASI) and Turkey’s Presidency of Defense Industries (SSB), brought together CEOs and business development leaders from major defense companies worldwide.
[Reported by Saudi Gazette]
