Ministry of Finance unveils pre-budget statement for 2024

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Saudi Arabia’s Ministry of Finance announced, on Sept. 30, the pre-budget statement for the fiscal year 2024, amid expectations that the total expenditures will reach about SAR 1.251 trillion, while the total revenues anticipated at SAR 1.172 trillion.  

The ministry estimates that a modest deficit will be recorded at about 1.9% of the gross domestic product (GDP), with continued efforts to increase the efficiency of spending and fiscal consolidation, strengthen fiscal sustainability, and implement economic and fiscal reforms. 

The ministry also estimates that a modest deficit will be recorded at about 1.9% of the Gross Domestic Product (GDP), with continued efforts to increase the efficiency of spending and fiscal consolidation, strengthen fiscal sustainability, and implement economic and fiscal reforms. 

These efforts are aligned with the pursuit of economic and fiscal reforms, as well as the objectives of Saudi Vision 2030, which include its significant programs, initiatives, and projects. Furthermore, the aim is to stimulate domestic investment growth by enabling the private sector and facilitating its contribution across the Kingdom. Continued efforts will be made to enhance the level of services provided to citizens and residents. 

The pre-budget statement for 2024 reflects the proactive structural and fiscal reforms that the Kingdom has taken to enhance its economy's ability to face economic developments and challenges, resulting in the positive performance of economic indicators, which has led to GDP growth at a continuous rate, the expansion and performance of the non-oil sector, and the increase of labor force. 

The Kingdom continues to support social protection programs and shows continued progress toward the objectives of the Fiscal Sustainability Program. These objectives were achieved by directing expansionary spending to accelerate the implementation of major programs, projects, and sectoral and regional strategies, in order to contribute toward GDP growth, attract investments, and stimulate the local economy. 

These measures were supported by continued efforts to develop fiscal performance through the increase of fiscal space and government reserves, in a way that enhances the ability of the Kingdom's economy to respond to and face global financial shocks.  

The fiscal measures also help Saudi Arabia to maintain sustainable levels of public debt, thus enabling the Kingdom to overcome any challenges that may occur in the future, while promoting growth and strengthening the national funds' capital.