Saudi Arabia announces 2020 Budget: Delivering efficiently and powering private sector growth

MINISTRY OF FINANCE, SAUDI ARABIA, RIYADH, Saudi Arabia, Dec. 9, 2019 - The 2020 budget indicates total expenditures of SAR 1,020 billion, and SAR 833 billion of projected revenues. The 2020 budget deficit is projected to amount SAR 187 billion (6.4% of GDP). For FY 2019, it is expected that the actual expenditures will reach SAR 1,048 billion and total actual revenues are expected to reach SAR 917 billion. The deficit is expected to amount to SAR 131 billion (4.7% of estimated 2019 GDP).

2019 saw the country improving its business environment, as recognized in the World Bank Ease of Doing Business Report 2020 where the Kingdom was the top reformer globally and moved 30 places up to 62nd. 62% of the three hundred planned reforms in this area were completed, including a new government tenders and procurement law, new commercial courts, a new competition law and planned public private partnership laws.

The 2020 Annual Budget is focused on Vision 2030 projects, continued private sector stimulus, mega project implementation and Vision Realization Programs. This will result in greatly improved efficiency and effectiveness, with many large CAPEX infrastructure projects ending and public private partnership projects increasing, reducing demands on government spending.