saudi budget deficit halves as financial reforms kick in
Last Updated : GMT 09:03:51
Almaghrib Today, almaghrib today
Almaghrib Today, almaghrib today
Last Updated : GMT 09:03:51
Almaghrib Today, almaghrib today

Part of an ambitious economic reform plan

Saudi budget deficit halves as financial reforms kick in

Almaghrib Today, almaghrib today

Almaghrib Today, almaghrib today Saudi budget deficit halves as financial reforms kick in

Saudi Arabia’s budget deficit halved
London - Al Maghrib Today
Saudi Arabia’s budget deficit halved in the first six months of the year following sweeping spending cuts that form part of an ambitious economic reform plan. The deficit shrank by 51 percent to SR72.73 billion ($19.38 billion) which officials said reflected progress made in improving state finances, which were hit by the dramatic decline in oil prices from mid-2014. “The second quarterly report shows the effectiveness of economic reforms and measures in the National Transformation Program within the Kingdom’s Vision 2030,” said Finance Minister Mohammed Al-Jadaan. “Although the economic challenges are still existing, we are confident that we can meet our expectations for the fiscal deficit for 2017.” Saudi Arabia has slashed government spending, rolled back subsidies and ushered in a slew of other economic reforms under Saudi Vision 2030, a plan driven by Crown Prince Mohammed bin Salman, deputy premier and minister of defense. The plan aims to cut the Kingdom’s reliance on oil and gas by investing heavily in sectors that create economically productive jobs from finance to manufacturing. As part of a drive to boost revenues, the government will also introduce value-added tax (VAT) next year along with its Gulf Cooperation Council (GCC) oil-exporting neighbors, which are also responding to weaker hydrocarbon prices. Saudi Arabia’s Ministry of Finance said total revenues in the first half rose to SR307.98 billion, a 29 percent increase on the same period last year. Spending fell 2 percent compared to the same period a year earlier to SR380.71 billion, according to a statement published by the Saudi Press Agency (SPA). Revenues for the second quarter rose 6 percent to SR163.91 billion. About SR100.9 billion of that came from oil – a 28 percent increase on the same quarter a year ago, due to recovering prices. Mazen Al-Sudairi, the head of research at Al-Rajhi Capital said in a note to clients that compared to other commodity-based economies, Saudi Arabia debt levels remained “very healthy.” Al-Rajhi Capital estimates that oil would need to trade at an average of $61 per barrel in the second half of this year for the government to meet its full-year oil-revenue target. Brent crude fell by about 0.6 percent last week to close at $52.10 per barrel. The International Monetary Fund (IMF) last month welcomed the economic reforms introduced by the Saudi government including the planned rollout of VAT, removing obstacles to private growth and boosting bank regulation. The IMF also cautioned that the government should closely monitor the pace of fiscal reforms and make adjustments where necessary. “Fiscal consolidation efforts are beginning to bear fruit, progress with reforms to improve the business environment are gaining momentum, and a framework to increase the transparency and accountability of government is largely in place,” the IMF said in a summary. “Effective prioritization, sequencing, and coordination of the reforms is essential, and they need to be well-communicated and equitable to gain social buy-in and ensure their success.” John Sfakianakis, director of economic research at the Gulf Research Center in Riyadh, said that the recovery in oil prices this year had been a key factor behind the reduced deficit. “Higher budgetary revenues and a narrower deficit is clearly the result of a jump in oil revenues during the second quarter,” he told Arab News. “The decline in non-oil revenues is the result of slower economic activity, which could show signs of recovery in the second half of the year.”
almaghribtoday
almaghribtoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

saudi budget deficit halves as financial reforms kick in saudi budget deficit halves as financial reforms kick in

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

saudi budget deficit halves as financial reforms kick in saudi budget deficit halves as financial reforms kick in

 



Almaghrib Today, almaghrib today Skincare PR Performance Full Year 2017

GMT 09:22 2018 Monday ,22 January

Skincare PR Performance Full Year 2017
Almaghrib Today, almaghrib today New hunt for flight MH370 gets under way

GMT 11:03 2018 Wednesday ,24 January

New hunt for flight MH370 gets under way
Almaghrib Today, almaghrib today Modern colorful bedroom renovation

GMT 10:57 2017 Thursday ,21 December

Modern colorful bedroom renovation
Almaghrib Today, almaghrib today Puigdemont candidate for Catalan president

GMT 13:56 2018 Tuesday ,23 January

Puigdemont candidate for Catalan president
Almaghrib Today, almaghrib today Turkey detains dozens more

GMT 10:47 2018 Wednesday ,24 January

Turkey detains dozens more
Almaghrib Today, almaghrib today The Rake announces editorial updates

GMT 10:46 2018 Tuesday ,16 January

The Rake announces editorial updates
Almaghrib Today, almaghrib today Europe brings on charm and blue skies

GMT 11:51 2018 Tuesday ,23 January

Europe brings on charm and blue skies
Almaghrib Today, almaghrib today For the Variety of Interior Design Styles

GMT 10:46 2017 Tuesday ,19 December

For the Variety of Interior Design Styles
Almaghrib Today, almaghrib today US Christian tourists see deep meaning

GMT 13:44 2018 Monday ,22 January

US Christian tourists see deep meaning
Almaghrib Today, almaghrib today Amazon to open first cashierless shop

GMT 10:03 2018 Tuesday ,23 January

Amazon to open first cashierless shop

GMT 04:49 2013 Wednesday ,10 April

Ayoon Wa Azan (Iran and buying time)

GMT 13:45 2016 Monday ,28 November

Video director charged in S. Korea's scandal

GMT 07:23 2017 Sunday ,03 December

World Cup draw 'could have been worse' for France

GMT 06:05 2011 Tuesday ,01 November

Pakistan rejects spying allegations

GMT 03:14 2011 Wednesday ,09 November

Canadian stocks give up early gains amid European worries

GMT 12:54 2014 Tuesday ,25 March

Rick Ross gets Rolling Stone advice column

GMT 13:51 2011 Wednesday ,14 December

Ferrari 575 GTZ ‘Zagato’ for sale

GMT 02:48 2015 Tuesday ,20 January

EPAD organises training courses for Africans

GMT 03:53 2012 Friday ,30 March

Heejun Han eliminated from \'Idol\'

GMT 13:32 2017 Friday ,10 March

Swarovski partners with Karlie Kloss

GMT 11:25 2011 Monday ,13 June

SABIC to purchase assets of its first sukuk

GMT 12:45 2017 Monday ,20 March

Women are the best spies

GMT 06:37 2012 Saturday ,24 March

From Stalin to Bashar: Messages of love and hate

GMT 04:24 2012 Friday ,30 March

Cool and Fun Lamp

GMT 15:29 2013 Thursday ,13 June

New menu at Taj Palace\'s renowned Handi

GMT 15:27 2012 Friday ,09 March

2012 Geneva Motor Show

GMT 11:42 2017 Thursday ,19 January

ESPN criticised over Venus 'gorilla' comment

GMT 03:58 2012 Friday ,16 March

Sofia Vergara in figure-hugging dress

GMT 19:10 2017 Wednesday ,25 October

Golf: Pressure on Matsuyama in WGC Shanghai defence
Almaghrib Today, almaghrib today
 
 Almaghrib Today Facebook,almaghrib today facebook  Almaghrib Today Twitter,almaghrib today twitter Almaghrib Today Rss,almaghrib today rss  Almaghrib Today Youtube,almaghrib today youtube  Almaghrib Today Youtube,almaghrib today youtube

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

.almaghribtoday .almaghribtoday .almaghribtoday .almaghribtoday
almaghribtoday almaghribtoday almaghribtoday
almaghribtoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
almaghribtoday, Almaghribtoday, Almaghribtoday