Alexander Bergesi, Vice President and Senior Analyst at Moody's Rating Agency, said that the reduction in the estimated spending in the Saudi budget for the years 2022 and 2023 is in line with the Kingdom's fiscal balance program, noting that These ratings are credit positive.
According to Al Arabiya.net, Bergesi explained that these estimates confirm the Kingdom's commitment to controlling spending despite expectations that government revenues will rise thanks to the increase in oil prices.
It is indicated that the Kingdom's preliminary budget estimates a decline in spending to 955 billion riyals in 2022 and 941 billion riyals in 2023.
Saudi Arabia expects its economy to grow by 7.5% next year, compared to 2.6% expected growth this year, with its goal of achieving a deficit of 1.6% in 2022.
Last Thursday, the Saudi Ministry of Finance announced the preliminary statement of the state's general budget for the fiscal year 2022, in conjunction with the issuance of the semi-annual financial and economic performance report for the year 2021.
The statement expected that total expenditures would amount to about 955 billion riyals during 2022, with continued work to enhance spending efficiency, maintain financial sustainability, and achieve the goals of the Kingdom's Vision 2030. .
