As the government continues its efforts to achieve fiscal balance and diversify its sources of revenue, the Ministry of Finance announced today, Monday, the actual results of the general budget for the first quarter of 2025, which showed a deficit of 58.7 billion riyals, as expenditures exceeded revenues during the period.
263.6 billion riyals in revenue
Actual revenues during the first quarter of 2025 amounted to approximately 263.6 billion riyals, compared to 293.4 billion riyals in the same period of 2024, a decline of 10%.
Revenues were distributed as follows:
Oil revenues: 149.8 billion riyals, down 18% from the previous year (181.9 billion riyals).
Non-oil revenues: rose to 113.8 billion riyals, compared to 111.5 billion riyals in the first quarter of 2024, representing a 2% increase.
Some non-oil revenue items recorded notable increases:
Taxes on goods and services: 71.6 billion riyals (+2%)
Other taxes: 4.58 billion riyals (+24%)
Taxes on income, profits, and capital gains: 6.7 billion riyals (+2%)
Expenditures rose to 322.3 billion riyals
On the expenditure side, the data showed actual spending of 322.3 billion riyals in the first quarter, an increase of 5% compared to the same period last year (305.8 billion riyals).
The most notable items that saw an increase in spending were:
Employee compensation: 146.1 billion riyals (+6%)
Social benefits: 30.5 billion riyals (+28%)
Financing expenses: 12.4 billion riyals (+23%)
Other expenses: 34.2 billion riyals (+12%)
In contrast, some items recorded a notable decline:
Subsidies: Declined to 6.49 billion riyals (−22%)
Capital Expenditures (Non-Financial Assets): Declined to 27.8 billion riyals (−19%)
Priority Spending on Health, Education, and Military Sectors
The Saudi government directed significant spending during the first quarter toward vital sectors, led by:
Health and social development sector: 72.2 billion riyals
Education sector: 53.9 billion riyals
Military sector: 51.4 billion riyals
General items sector: 42.1 billion riyals
Security and administrative regions: 30.3 billion riyals
Public debt rises to 1,328.8 billion riyals
Budget data showed that the Kingdom’s public debt rose to 1,328.8 billion riyals by the end of the first quarter of 2025, compared to 1,215.9 billion riyals at the end of 2024, an indicator reflecting the continued financing of the deficit through debt instruments.
According to Ministry of Finance estimates, total revenue for 2025 is expected to reach 1,184 billion riyals, while expenditures are estimated at 1,285 billion riyals, resulting in a projected annual deficit of 101 billion riyals.
