Economics

Saudi Arabia May Face Budget Squeeze After 2021, Moody’s Says

  • Aramco may not be able to keep up $75 billion dividend payouts
  • Saudi government has relied on Aramco cash amid economic slump

    

Photographer: Simon Dawson/Bloomberg

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Saudi Arabia may not be able to rely on annual dividends of almost $75 billion from state oil company Saudi Aramco beyond next year unless crude prices increase, according to Moody’s Investors Service.

The government, which owns 98% of Aramco, has depended on the dividend to help plug its budget deficit.