Jadwa Investment: Saudi Arabia’s 2020 Preliminary Budget Statement

A recent report by Jadwa Investment highlights the recent revisions in fiscal indicators presented by Saudi Arabia’s Ministry of Finance during its recent 2020 preliminary budget statement, noting adjustments in budgeted revenue, expenditures and more.

The report notes that Saudi Arabia’s 2019’s revenue “is expected to total SR917 billion ($245 billion), in line with our forecast of SR910 billion ($243 billion), but SR58 billion ($15 billion) lower than budgeted under the 2019 fiscal budget,” the Riyadh-based bank says, adding that the main factor in the adjustment in overall revenue is primarily due to oil revenue.

A reduction in projected revenue has meant that projected expenditure has also been revised downwards, Jadwa says.

“Looking ahead, it is important to highlight that institutions such as the Public Investment Fund (PIF) and indeed the National Development Fund (NDF) are likely to take a leading role in investments within the Kingdom, especially so the more growth enhancing capital expenditure.”

[Click here to read the full report from Jadwa Investment] [Arabic]