But the agency confirmed the sovereign credit rating at A1, noting the government balance sheet that is still relatively strong despite the decline and moderate debt levels and strong fenders on The financial level and the level of external liquidity.
Global demand for fuel fell by a third, due to closings related to the Corona epidemic, and the subsequent closure of companies and businesses.
Moody's said in a statement last Friday that plans to diversify the Saudi economy, away from oil, could raise the country's growth potential in the medium to long term. < / p>
She added that the risks associated with the implementation of diversification plans are high, and it is likely that it will take many years, before its benefits become tangible.
Moody's expected that the Saudi fiscal deficit will widen to more than 12% of GDP, during the current year 2020, and more than 8% in 2021, This is compared to 4.5% in 2019.
According to Moody's, this would lead to a rise in government debt, to about 38% of GDP, by the end of 2021, compared to less than 23% of output. GDP in 2019.
