IMF Says Saudi Slump Matched Argentina Among Worst G-20 Laggards
- Saudi GDP shrank 1.1% last year after oil cuts, estimates show
- Economy is highly reliant on oil sector for growth and revenue
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Saudi Arabia’s economy had one of its steepest contractions of the past two decades after reducing oil output to support crude prices, according to the International Monetary Fund, a slump matched only by crisis-stricken Argentina among the Group of 20 nations.
Gross domestic product slipped 1.1% last year, the IMF said in the World Economic Outlook on Tuesday, flipping its previous forecast for a small expansion. While expecting the kingdom to return to growth this year and next, its projection for Saudi Arabia saw the biggest downgrade for 2024 after Argentina in the G-20.