Saudi Arabia posts $33.5bn budget deficit

Saudi Arabian Government while talking to national and international media has stated that Saudi Arab is facing a rise in budget deficit and declining oil revenues. The kingdom’s budget shortfall widened to 125.7 billion riyals ($33.5bn) in the first three months of the year as rising government spending coincided with a fall in crude sales, according to the latest budget figures released by the Saudi Ministry of Finance on Tuesday.

Saudi officials had in December projected a deficit of 65 billion riyals ($17bn) for the whole of 2026.

By sector, economic resources was responsible for the biggest rise in government spending, increasing 52 percent year-on-year.

Spending on general items rose 46 percent, while the military, infrastructure and transport each saw a 26 percent gain in expenditures.

Non-oil revenues rose by 2 percent, partly offsetting the drop in commodities sales.

As the world’s top oil exporter, Saudi Arabia lost a key economic lifeline with the collapse of shipping in the strait, though the kingdom has been able to reroute much of its exports through the Red Sea port of Yanbu via the East-West Pipeline.

Saudi Government has stressed to stop War on Iran and have a dialogue for the sake of innocent civilians and International harmony.