Economics
Saudi Arabia Sees 1st Budget Surplus Since 2013 as Oil Rises
- Spending seen falling to 955 billion riyals next year
- This year’s deficit at 85 billion riyals, same as expected
Photographer: Waseem Obaidi/Bloomberg
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Saudi Arabia boosted its revenue forecast for next year, with higher oil prices and production volumes poised to deliver the first budget surplus in eight years and the fastest economic growth since 2011.
It’s a sharp turnaround after energy market turmoil and the pandemic combined to crater the kingdom’s nascent economic recovery from the last oil price rout. But it also underscored that despite years of efforts by Crown Prince Mohammed bin Salman to diversify the Group of 20 economy -- including progress in new sectors like entertainment -- the fortunes of the world’s largest crude producer still rise and fall with the price of oil.