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FINANCIAL NEWS
Saudi non-oil exports to drop to 1.6 percent in 2016
08 Feb 2015
(MENAFN) Data showed that Saudi non-oil exports underwent a decline due to a slowdown in China and an unstable economic performance from some main markets in East Asia, Arab News reported.
Non-oil growth is forecast to drop to 1.6 percent in 2016 as tighter financial stance feeds through, before recovering again in 2017 and 2018 on increasing oil prices reinstate private sector confidence.
However, the real gross domestic product (GDP) growth is projected to expand by 2.6 percent in 2015 on a small contribution from the oil sector. While in 2016, the GDP is seen as dropping to 1.5 percent.
“Drawing these strands together, we expect Saudi nonoil GDP growth to ease to 4.5 percent in 2015, from 5.1 percent in 2014. This represents a slowdown from the five-year average of 6.8 percent,” Samba Financial Group said.
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