Saudi Arabia reports SAR 54 bln budget deficit in 2014

Saudi Arabia reported a budget deficit of SAR 54 billion in 2014, according to the general budget report published by the kingdom’s ministry of finance.
 

The ministry reported SAR 1,046 billion in revenues, compared to expenditures of SAR 1,100 billion.
 

The deficit resulted from the increase of actual expenditures over the budgeted amount by about SAR 245 billion.

The deviation from the planned budget was attributed to the expansion of the two holy mosques project, the compensations paid for the expropriation of properties around the mosques, and increased spending on developmental and service projects.

Foreign aid to other countries also contributed to the kingdom’s deficit, the report said.

Saudi’s deficit is expected to grow to SAR 145 billion in 2015 based on the ministry’s estimates.
 

Actual expenditures exceeded projected amounts in the last five years by amounts ranging from SAR 105 billion to SAR 247 billion, according to data compiled by Argaam.
 

Following this pattern, actual spending in 2015 is expected to hit SAR 1,150 billion.
 

Saudi’s public debt dropped to SAR 60.1 billon in 2014 representing two percent of the kingdom’s GDP.

Saudi GDP rose 1 percent to SAR 2821.7 billion in 2014, while the inflation rate increased to 2.7 percent in the same period.

Below is Saudi’s budget broken down since 2010: