RIYADH, SAUDI ARABIA – Saudi Arabia posted a budget deficit of SAR5.3 billion ($1.41 billion) in the second quarter of 2023, the finance ministry said on Thursday.
Saudi Arabia, the world’s top oil exporter, recorded a budget surplus of almost $30 billion in 2022 as the high prices of the fossil fuel boosted government revenues.
Data released on Thursday showed that the budget deficit has extended to US$2.18 billion (SAR8.2 billion) to date in 2023.
There is a possibility of a full-year deficit in 2023 after last year’s surplus.
Total revenues in the second quarter stood at US$84 billion (SAR314.8 billion), down 15 percent from the same period a year ago.
Spending rose 9 percent over the same period last year, at just over US$85.3 billion (SAR320 billion), the finance ministry said.
The Saudi economy grew 8.7 percent last year as high oil prices boosted revenue and led to the kingdom’s first budget surplus in almost 10 years.
There has been a significant drop in revenue from oil exports this year due to lower prices and production cuts.
