Saudi Arabia Forecasts 2027 Deficit, Slowing Growth Amid Oil Slump

Saudi Arabia's finance ministry has released its pre-budget statement for 2027, estimating total expenditure at 1.39 trillion riyals ($370.21 billion) and revenue projected at 1.20 trillion riyals ($319.61 billion).

The projected fiscal deficit is estimated to be 191 billion riyals ($50.87 billion), equivalent to 3.6 percent of gross domestic product in 2027.

The ministry also announced that Saudi Arabia's real GDP growth is forecasted at 12.8 percent in 2027, following an expected decline of 3.6 percent in 2026 due to a projected 21.8 percent drop in oil activities amid geopolitical developments in the region.