Saudi Arabia’s economy contracts sharply in the latest reported quarter, marking its biggest decline since the early stages of the Covid-19 pandemic, according to multiple outlets. Financial Post and Moneyweb both cite a significant year-on-year drop in gross domestic product for the three months through June, with Moneyweb reporting a 4.8% contraction. Financial Post attributes the downturn partly to regional tensions and the impact of the US-Israeli war against Iran on Saudi Arabia’s oil sector. The articles frame the economic slowdown as linked to challenges affecting the country’s vital oil exports, a key driver of Saudi growth and public revenues. While the reports highlight the same broad cause—disruption and uncertainty around oil flows—they focus on different aspects: one emphasizes the scale of the contraction since 2020, while the other provides the specific GDP figure and the time period covered. Together, the sources indicate that Saudi Arabia experiences a major contraction in the most recent quarter, with the oil industry facing adverse conditions amid ongoing conflict in the region.