Saudi fiscal strengths remain very high, says Moody’s

Saudi Arabia’s credit profile is underpinned by the Kingdom's "Very High" economic strength, Moody's Investors Service said on Friday announcing the completion of its periodic review of issuers including Saudi Arabia.

“The credit profile of Saudi Arabia (issuer rating A1) is underpinned by the Kingdom's "Very High" economic strength, reflecting its large economy with significant reserves of crude oil and very high per capital income; "High" institutional strength based on relatively strong governance indicators and our view of the sovereign's strong policy credibility; and "Very High" fiscal strength reflecting government's still low debt burden and high debt affordability in addition to sizeable fiscal buffers,” the ratings agency said in a statement.

The review however did not involve a rating committee, and this does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future, Moody’s added.