Muhammad al-Jadaan told Al-Arabiya television, yesterday, Saturday, that the Saudi finance still needs more control to meet the challenges.
Al-Jadaan stressed that the Kingdom's government is considering making large cuts in spending, among other measures required to confront the crisis.
Strict measures to counter the effects of corona
Minister Al-Jadaan explained that Saudi Arabia will take strict and painful measures to deal with the effects of the Corona virus, adding that all options for dealing with the crisis are currently open.
He said: We must reduce the budget expenditures sharply, adding that the Saudi finance needs greater control and the road ahead is long.
Al-Jadaan stated that one of the measures is to slow down the implementation of some government projects, including huge projects to reduce spending.
Saudi Arabia, the world's largest oil exporter, is suffering from a historical drop in crude prices while measures to curb the Corona virus outbreak will likely reduce the frequency and scale of economic reforms. Inaugurated by Crown Prince Mohammed bin Salman.
Foreign exchange reserves at the Saudi central bank tumbled in March at the fastest pace in at least two decades, to reach the lowest level since 2011, while the kingdom recorded a deficit of nine billion Dollars in the first quarter of the year due to a collapse in oil revenues.
Al-Jadaan said earlier that Riyadh may borrow about 26 billion dollars more this year and will withdraw approximately 32 billion dollars from its reserves to finance the deficit.
Al-Jadaan said that the government used some investment income to bridge the budget deficit, noting that the crisis provides investment opportunities.
Al-Jadaan noted that the Kingdom has taken incentive measures aimed at preserving jobs in the private sector and ensuring continued access to basic services.
