By Innovation-sa on April 24, 2019 in News
Saudi Arabia attained a budget surplus of SR27.8 billion in the first quarter of 2019, in comparison to a budget deficit of SR34.3 billion during the same period last year, the Kingdom’s Finance Minister Mohammed Al-Jadaan said at the Financial Sector Conference (FSC) in Riyadh on Wednesday.
This is the first time that the Kingdom recorded a surplus in its budget since the 2014 oil price slump, and increased income from hydrocarbons’ sales as well as revenue from non-oil industries contributed to the country’s economic growth.
The Kingdom plans to increase state spending by 7 percent this year in an effort to spur economic growth that has been weakened by low oil prices, according to its 2019 state budget.
“We are committed to the reform, this is not about the oil, this is about an economy that needs to be diversified,” said Al-Jadaan. “The ministry has launched initiatives worth SR12.5 billion to support the growth of private sector, including SMEs.”
Foreign investments to Saudi Arabia doubled, while direct investments rose by about 5 percent during Q1, Al-Jadaan noted. Moreover, the Ministry of Finance is working with 18 other ministries to sort out all the obstacles faced by investors. Expenditure in the first quarter amounted to SR 217.6 billion, slightly higher in comparison to last year, he added.
Mubasher – April 24 2019