Saudi Arabia’s e-commerce growth surged dramatically in July, reaching SR29.86 billion ($7.96 billion) in spending via mada cards. This represents a 79.45 percent increase compared to last year. The record volume reflects the Kingdom’s rapid adoption of digital commerce and cashless payments.
The Saudi Central Bank reported that online transactions also climbed 65.64 percent, totaling 149.74 million in July. These figures highlight sustained momentum in the country’s digital economy and show the strong demand for mobile and online shopping.
E-commerce growth in Saudi Arabia relies on a young and digitally engaged population. Around 70 percent of citizens are under 35 years old, according to the General Authority for Statistics. These consumers favor mobile apps, fast checkout processes, and convenient payment methods.
Connectivity further reinforces the trend. The Kingdom counted approximately 33.9 million internet users in January, nearly 99 percent of the population, with mobile devices as the primary access channel. This widespread digital reach supports online retailers and payment providers.
Mada, the national payment scheme operated by Saudi Payments under SAMA’s supervision, links local banks, ATMs, and point-of-sale terminals. It enables real-time payments both in stores and online. The central bank reported that electronic payments accounted for 79 percent of all retail transactions in 2024, up from 70 percent in 2023.
SAMA recently introduced a new e-commerce interface to simplify integration for merchants, support tokenization, and improve onboarding. Two months later, Google launched Pay and Wallet in Saudi Arabia, expanding wallet options for consumers. These developments enhance the e-commerce growth trajectory and improve user experience.
Experts note that Saudis increasingly favor mobile-first, value-driven shopping experiences. Fast, frictionless payments boost conversion and encourage repeat purchases. Regional trends also support embedded payments through super-apps and communication platforms, further integrating e-commerce into daily life.
Macro conditions remain favorable. Non-oil retail continues expanding, supported by domestic demand and Vision 2030 initiatives. Policymakers also aim to formalize unregistered e-commerce, integrating it into the tax base as the sector matures.
Analysts suggest sustained e-commerce growth depends on expanding payment interfaces, maintaining data security, and keeping checkout experiences seamless. Tokenization and wallet interoperability reduce fraud and simplify transactions.
The ongoing transformation signals that e-commerce growth is no longer optional but a central feature of Saudi Arabia’s retail and digital economy. Merchants and policymakers alike view frictionless digital payments as essential to capturing future demand.
