US-Saudi arms deal more an investment than purchase, says Al-Jadaan

The US-Saudi weapons deal valued at $110 billion, which is to be considered an investment rather than a purchase deal, will help the Kingdom secure 50 percent of its needs, Saudi Finance Minister Mohammed Al-Jadaan said.

The deal, the details of which will be disclosed in due course, comes within the framework of the Saudi Vision 2030, the finance minister was cited as saying by state-run news agency, SPA.

Referring to the Kingdom’s debt program, Al-Jadaan said the government was expected to resume local debt issuances this quarter or next, partly to finance the budget deficit.

Meanwhile, speaking alongside the vice minister of economy and planning, Mohammed Al-Tuwaijri, Al-Jadaan said the kingdom may slow austerity measures in line with the recommendations of the International Monetary Fund (IMF), Reuters reported.

Al Tuwaijri said the government was still studying the criteria upon which the adjustment to energy and fuel prices would be decided. The energy price study could be finalized this year or early 2018, he added.