Saudi Arabia Widens Budget Deficit on War-Related Spending

Saudi Arabia has revised its budget deficit forecast upward to 4.9% of GDP this year, a deeper shortfall than previously expected.

The country's finance ministry announced the updated projection on October 1, citing increased spending to offset the economic impact of the ongoing regional war.

Ongoing military efforts have led to a significant increase in oil prices, which has triggered a spike in revenue for Saudi Arabia. However, this growth is largely being absorbed by higher wartime expenditures.