The Ministry of Finance revealed its projections for the 2019 budget during a press conference to announce the budget estimates, Total revenue is expected to reach approximately 978 billion riyals in 2019, representing an increase of 11% compared to 2018, Meanwhile, expenditures are estimated at approximately 1.106 billion riyals, an increase of about 7% over this year’s projected spending, as part of efforts to achieve economic growth targets and encourage the private sector.
Finance Minister Mohammed bin Abdullah Al-Jadaan revealed that the public finance strategy contributes to reducing deficit rates and supports the sustainability of public finances and economic growth in the medium term.
He noted that thanks to the successful implementation of numerous initiatives to develop non-oil revenues, improve spending efficiency, and refine mechanisms for targeting those eligible for support, the budget deficit during the first half of the current fiscal year 2018 decreased to approximately 41.7 billion riyals, a decrease of approximately 31 billion riyals from the deficit recorded in the corresponding period of the previous fiscal year (2017), despite a 26% increase in expenditures during the comparison period.
Al-Jadaan explained that the release of the preliminary statement for the 2019 budget for the first time reflects serious and concrete steps to improve the process of preparing and implementing the state’s general budget, and to raise levels of financial disclosure and transparency regarding public finances. The report reviews the most important policies and initiatives targeted in the draft budget for the coming year, 2019, to achieve medium-term fiscal and economic objectives.
