Saudi Arabia recorded budget surplus six times since 2007

Saudi Arabia has posted a budget surplus six times over the last decade, but run deficits in four years, according to data compiled by Argaam.

The largest surplus was recorded in 2008 at SAR 581 billion, thanks to a 75 percent rise year-on-year (YoY) in oil revenue, driven by a remarkable hike in crude prices to $133 per barrel (bbl) during H1 2008.

Cash surplus ranged between SAR 88 billion and SAR 374 billion in 2007 and for the period from 2010 to 2013.

Meanwhile, the biggest fiscal deficit of SAR 366 billion was witnessed by the Kingdom in 2015 as oil revenue fell 51 percent YoY to SAR 447 billion – the second deficit following SAR 66 billion in 2014.

The third straight deficit was run in 2016 at SAR 297 billion, on a 26 percent fall in oil revenue to SAR 329 billion, the data added.

Last year, the Saudi government tapped domestic and international debt markets to finance its budget deficit.

Accordingly, the Kingdom’s total public debt increased to SAR 316.5 billion, compared to SAR 142 billion in 2015.

Saudi Arabia had earlier expected a budget deficit of SAR 198 billion by the end of this year.

The Kingdom’s deficit stood at almost SAR 121.5 billion in the first nine months of the year, down 40 percent YoY. Revenue totaled SAR 450.1 billion, while expenditure reached SAR 571.6 billion.