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FINANCIAL NEWS
Saudi economy projected to expand 4.2% in 2013
09 Jan 2013
(MENAFN) Jadwa Investment’s latest report shows that in 2013, Saudi Arabia’s economy is forecasted to grow by 4.2 percent, reported Arab News.
According to the Kingdom’s Central Department for Statistics and Information, the country’s gross domestic product (GDP) grew by 6.8 percent in 2012, by 8.5 percent in 2011 and by 4.7 percent in 2010.
Jadwa’s report reveals that the oil sector would shrink by 1.5 percent in 2013, down from a growth of 5.5 percent posted last year, as annual oil output is projected to drop by 2.3 percent during the current year, due to the government’s plan to trim production.
Saudi non-oil private GDP growth is projected to rise to 6.3 percent from an average of 4.9 percent recorded during the last 10 years.
The non-oil sector will be driven by higher government expenditure, corporate lending and strong domestic consumption.
According to Jadwa, government spending in 2013 will be equivalent to 31 percent of GDP, up from an average of 30.4 percent in the past 10 years.
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