An international report: public debt in Saudi Arabia will grow by 23%
Date: 01/21/2017 11:08
Information / Baghdad ..
Predicted site "The Oil-Price," a specialist oil affairs, the growth of public debt in Saudi Arabia increased by 23% over the next year in 2018, noting that the Kingdom will continue to feel the pain resulting from lower prices in spite of its agreement to keep production down 10 million barrels a day.
He said the site in a report, as quoted by the Saudi channel news, the Saudi leadership, "and agreed to cut production after it resisted the idea for years due to the erosion of foreign exchange reserves and the boom in the US energy sector, and the need for steps to raise prices."
He pointed out that "in parallel with attempts to raise oil prices were steps to reduce spending in the projects in addition to the privatization and sale of bond projects."
The report considered that "the plans announced by the Saudi government are focused on the short term, as the borrowing could cover the budget deficit is only a limited time, and the non-oil sectors that are trying to transform Saudi Arabia does not rely on a lot longer."
The site said that "the public debt will grow from 1.6 per cent in 2014 to 23 per cent in 2018, and this is what may scare investors and markets to avoid accepting more than Saudi Arabia's religion."
The report ended by saying that "in spite of the optimism that tries to official discourse Advaah, hovering storm clouds on the horizon of the Kingdom of the oil, and the situation goes to the path of the most volatile factor in the light of initial oil remain in the image of the Saudi economy." Finished / 25