Saudi Arabia adopts deficit strategy to boost non-oil economic growth

Saudi Arabia is implementing a policy known as 'deficit by design' in order to promote economic growth. The country is expecting budget deficits in the coming years and has projected a fiscal deficit of around 2.8% of its gross domestic product for this year.

This strategy is a deliberate decision aimed at investing in the non-oil sector, which aligns with Crown Prince Mohammed bin Salman’s Vision 2030 agenda. The goal of this initiative is to diversify the economy and reduce its heavy reliance on crude oil, which will require significant investment commitments.

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