RIYADH: E-commerce revenue in Saudi Arabia will grow at 13.5 percent annually through 2027, faster than the global growth average of 11.2 percent, according to a report. In its latest study, Agility Logistics said that Saudi e-commerce generated $10 billion in revenue in 2023, making the Kingdom the 28th largest online market globally and bringing it on par with its regional neighbour, the UAE. “In key areas such as investment, logistics capacity, and shipping volumes, Saudi Arabia is set to establish itself as the region’s new e-commerce leader,” said Agility in its report. It also lauded the Saudi government for regulatory reforms to address the lack of a domestic logistics network. “Saudi Arabia has simplified licensing for domestic delivery providers and created multiple tiers of licenses. At the same time, fresh investment has poured in to boost warehousing, fulfillment and trucking capacity,” added Agility. The logistics firm further noted that Saudi Arabia is leading the Middle East and North Africa region with its economic diversification efforts. According to the report, the Kingdom is going through a remarkable period of transformation. “About 80 major projects are expected to be developed in Saudi Arabia by the year 2030, many of which focus on logistics development as crucial to achieving the country’s development objectives,” said Agility. It added: “Most of these projects are financed by the Public Investment Fund of Saudi Arabia.” The report went on to highlight that the transformation process has helped to create opportunities for domestic and foreign investors in Saudi Arabia, and the Kingdom is steadily emerging as a global logistics hub. Agility further pointed out that Vision 2030 is also spurring the growth of trade zones in the Kingdom. The zones at Riyadh’s King Khalid International Airport and King Abdullah Economic City in particular have the potential to allow Saudi Arabia to compete with Jebel Ali in the UAE, the report noted. According to the study, the UAE, Saudi Arabia and Qatar have remained among the world’s top 10 emerging markets for logistics. The UAE landed the third position, while Saudi Arabia secured the sixth place and Qatar stood at seventh. China topped the list, followed by India in the second spot. The countries were rated according to their logistics strengths, business climate and digital readiness. The UAE and Saudi Arabia ranked in the top 10 in all these categories. Qatar also came in the top 10 list in all categories except international logistics opportunities. The UAE ranked number one for business fundamentals, while Saudi Arabia came in third in the same category.