Saudi to post budget deficit due to low oil prices
17 Nov 2014
(MENAFN) Saudi government is expected to post a budget deficit next year, due to the decrease in Brent crude oil now at USD80 a barrel, down from USD115 in June, Gulf Business reported.
The latest drop in oil prices will not effect on Saudi Arabia’s budget as the Kingdom takes precautions to handle all possibilities when planning its finances, according to finance minister.
He added that if low oil prices could have a direct impact on next year’s budget or government spending, “The global oil situation usually in one way or another affects countries’ revenues and debts, but the Kingdom has always been keen on building its budgets on estimates that take all possibilities into consideration.”