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Saudi Arabia was able to reduce spending by SAR 12 billion in Q1, and is working towards reducing the deficit to 7 percent of GDP this year, finance minister Mohammed Al-Jadaan said today during the Euromoney Conference 2018 in Riyadh.
The Kingdom’s budget for the first quarter of 2018 will be revealed soon, he said, adding that non-oil revenues have seen substantial growth.
“The results of the Saudi’s budget performance for the first quarter of this year confirm that we are steadily pursuing the fiscal and macroeconomic targets for the year in the medium term,” the minister said.
“Indicators have shown important progress in our economic reform toward achieving mid-term objectives of fiscal balance program until 2023,” he added.
The Ministry of Finance is working on establishing a comprehensive financial and economic risk-management framework to ensure economic growth, Al-Jadaan said.
The Kingdom’s Vision 2030 aims to encourage the private sector to be the main market driver, the minister said, adding that citizens, especially youth, are embracing the reforms.
Saudi Arabia’s revenue is expected to reach SAR 783 billion in 2018, while public spending is expected to reach SAR 978 billion, a SAR 195 billion estimated deficit.
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