Crown Prince Mohammed bin Salman of Saudi Arabia announced today, Wednesday, that the kingdom's budget for 2024 aims to enhance growth in the non-oil economy by increasing spending on infrastructure, local industries, and services, as well as investing in them. The Crown Prince stated that the government is also working to strengthen its reserves and maintain sustainable levels of public debt. His comments were reported by the Saudi Press Agency following the approval of the kingdom's budget for the upcoming year.
Data released by the Saudi Ministry of Finance today indicated that the kingdom's public debt is expected to reach 1.103 trillion riyals ($294.09 billion) or 25.9% of GDP in 2024, up from previous projections of 1.024 trillion riyals in 2023. The ministry noted that economic growth in Saudi Arabia, a G20 member and the largest economy in the Arab world, is expected to recover to 4.4% next year from a projected 0.03% in 2023.
Finance Minister Mohammed Al-Jadaan announced that "the production cuts implemented by the kingdom in line with OPEC+ agreements are affecting government revenues." He added in a press conference following the budget announcement: "The kingdom, along with its partners in OPEC and OPEC+, has decided on a very significant production cut, which certainly affects revenues." The budget statement revealed that average oil production reached 9.8 million barrels per day by September, a decrease of 6.9% from the previous year due to Saudi commitments to OPEC+.
