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FINANCIAL NEWS
Saudi Arabia 2016 budget to drop at SR326bn
06 Nov 2016
(MENAFN) Saudi Arabia avoided an economic crisis due to low oil prices this year, while the outlook for state finances and growth will remain dark for many months to come.
However, harsh spending cuts will reduce its budget deficit, which reached USD98bn last year, by much more than planned.
On the other hand, USD17.5bn sovereign bond issue last month opened an overseas borrowing channel, which Riyadh can use to slow its foreign reserves.
Meanwhile, a foreign banker in Riyadh confirmed the economy had escaped a fiscal and currency crisis that emerged at the start of this year.
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