Saudi Arabia announces $264 billion budget to revive economy

Syed Umarullah HussainiWeb Editor

16th Dec, 2020. 12:34 pm
Saudi Arabia

The Government of Saudi Arabia has announced its budget for the year 2021 that mainly focuses on the healthcare and combating challenges of COVID-19.

According to the details, while announcing the budget with spending of $264 billion, King Salman said: “We have directed that the budget give priority to protecting the health and safety of citizens and residents, and to continue efforts to limit the effects of the pandemic on our economy.”

Speaking on the occasion, Crown Prince Mohammed bin Salman said 2020 had been a difficult year for the whole world due to the COVID-19, “but the Kingdom’s economy has proven its ability to withstand its impact.”

In addition to this, he said that “The crisis has been managed with great care and effectiveness, which led to the mitigation of the negative effects on the Saudi economy.”

Finance Minister Mohammed Al-Jadaan said that Saudi wealth funds were predictable to spend 100s of billions of riyals in the local economy in the coming years, even as the government’s direct expenditure drops.

It should be noted that Saudi Arabia, despite being the world’s largest crude exporter faced a double crisis this year as oil market turmoil and the coronavirus pandemic combined to pressure state finances.

The government’s options for stimulating the non-oil economy have been limited as businesses faced reduced demand and restrictions related to the novel coronavirus pandemic.

Adsense 300 x 250