Saudi GDP growth to turn positive in 2018: Moody’s

Saudi Arabia’s real gross domestic product growth is expected to return to positive in 2018, following a contractin in 2017, supported by the fiscal consolidation approach outlined in 2018 budget, Moody's Investors Service said.

The ratings agency expected Saudi Arabia's real GDP to grow by around 1 percent in 2018, and to increase gradually in the years ahead.

GDP growth for the Gulf Cooperation Council (GCC) countries combined is projected to see an uptick of nearly 2 percent in 2018 – improving from zero percent last year, but remaining below the average 5 percent recorded between 2010 and 2015, Moody’s said.

Real GDP growth in the United Arab Emirates, Qatar and Oman will stay above region's average, supported by public investment in mega-projects.

The World Expo 2020 will drive the non-oil growth in the UAE, with the country’s non-oil real GDP rising to 3.4 percent this year.

Bahrain will be the only GCC sovereign whose growth will slow in 2018, Moody’s said.