Saudi Growth Slows as Kingdom Adjusts to Cheap Oil, IMF Says

Economic growth in Saudi Arabia is set to slow this year and next as the government is forced to reduce spending to compensate for lower oil prices, the International Monetary Fund said.

Saudi Arabia’s gross domestic product will grow by 2.8 percent this year and 2.4 percent in 2016, the IMF said in e-mailed statement on Monday at the conclusion of its regular country consultation. That compares with 3.5 percent growth last year. Annual growth may expand to 3 percent in the “medium term,” it said.