Saudi Arabia More Than Doubles Budget Gap Estimate for 2025

Saudi Arabia has revised its budget deficit estimate for 2025, more than doubling the previous projection. The kingdom's economic transformation efforts, coupled with the lingering impact of low oil prices, have contributed to this widening gap. Despite the increased deficit, Saudi Arabia remains committed to its ambitious plans to diversify its economy and reduce its reliance on oil revenue. The government is investing heavily in various sectors, including infrastructure, technology, and tourism, in an effort to achieve its long-term development goals. However, the combination of these spending commitments and the ongoing volatility in global oil markets has necessitated a recalibration of the country's fiscal outlook for the coming year. Saudi authorities are working to strike a balance between funding their economic diversification initiatives and maintaining fiscal discipline, a challenge that will likely continue to shape the kingdom's economic policies in the near future.