• Saudi budget deficit fell by 38 percent from Q1
• Spending rose to SR252 billion from SR212 billion

Jana Salloum

Shatha Almasoudi

Sara Alfaiz

RIYADH: Saudi Arabia reported a fall in its budget deficit that went down by 38 percent in the second quarter of this year from the first quarter even as its spending increased by 19 percent with revenues also increasing by 22 percent, the Ministry of Finance said in its quarterly budget report.

Spending by the Saudi Arabian government climbed to SR252 billion from SR212 billion in the previous quarter, while state revenues rose to SR248 billion from SR204 billion in the first quarter of the year, according to official data, leaving its budget deficit at SR4.6 billion, down from SR7.4 billion in the previous quarter.

Revenues increased on higher oil sales as well as income from non-oil activities, the data showed.

“State budget is a barometer of a nation’s financial health. The Saudi Q2 budget report results indicate a more robust economic situation with more disciplined fiscal measures as well business rebound in the Kingdom from the pandemic,” independent economist Mohammed Ramady told Arab News.