Reducing partial spending … a proactive measure to preserve the Saudi financial gains
Economists for Asharq Al-Awsat: The Kingdom has the ability to face challenges and raise the efficiency of performance to meet “Corona”
Friday – Rajab 25, 1441 AH – March 20, 2020 AD number number [
Saudi Finance approves a partial reduction of items not affecting social and economic spending (Middle East)
Jeddah: Saeed Al Abyad
Saudi economists are unanimous that the action taken by Saudi Arabia, which includes a partial reduction in some items with the least social and economic impact of about 50 billion riyals ($ 13.3 billion), which represents less than 5 percent of the total expenditures approved in the budget for the year 2020, is a proactive measure To maintain the country’s financial efficiency and national economic gains.
Specialists confirmed to Asharq Al-Awsat that Saudi Arabia, through many of its past and current positions, works on the public interest, and the citizen avoided any consequences resulting from external conditions, especially that the income of the local economy has become diverse at present, which is what Saudi Arabia seeks according to its 2030 vision. Which allows it to move to meet external challenges without negative repercussions.
The Saudi Finance Minister Mohammed Al-Jadaan announced yesterday that the government has approved a partial reduction in some items with the least social and economic impact, and the size of the partial reduction in those items amounted to approximately 50 billion riyals, representing less than 5 percent of the total expenditures approved in the budget for the year 2020 , Noting that developments will be re-evaluated, items of expenditures reviewed and appropriate decisions taken in a timely manner, and the government will continue to raise the efficiency of financial and economic performance.
For his part, Dr. Faisal Al-Fadil, Head of the Economy and Energy Committee in the Shura Council, told Asharq Al-Awsat that the action taken is a preventive and preventive measure that accompanies the events around the world, which are led by the Corona virus, and the resulting economic losses of various countries, explaining that many Among the countries that followed the same approach adopted by Saudi Arabia in preserving its economy, including what the United States announced to adopt a plan worth one trillion dollars to support the economy in the face of the epidemic «Corona».
Dr. Al-Fadil pointed out that this measure came after careful study to preserve the economic gains, in addition to keeping pace with developments and dealing with all changes, without harming the citizen’s economy and social projects and preserving them, stressing that the national economy is strong and has the ability to confront emergency changes and deal with them flexibly.
Al-Fadil said that the state continues to work towards achieving the “Vision 2030” and will continue to raise the efficiency of financial and economic performance, so that it can continue to implement the “Kingdom’s Vision 2030” programs and targets.
In addition, Dr. Saleh Al-Tayyar, Secretary-General of the French-Arab Chamber of Commerce, told Asharq Al-Awsat that Saudi Arabia has always been proactive in taking proactive steps in all fields to ensure continuity, which has happened in many previous and current situations, the latest of which was the approval of the reduction by about 50 billion from the general budget, and the postponement of some projects that have no negative impact or repercussions in the short and long term.
The pilot added that Saudi Arabia has a strong financial position, despite the challenges that have occurred on the international scene from the “low oil prices and the spread of the new Corona virus”, which caused huge losses for many economies, but Saudi Arabia, despite these challenges, has maintained reserves and huge assets that enable it to Facing any circumstances, and continuing to consistently achieve its economic goals, pointing out that this reduction has positive returns for citizens that the state has endeavored not to bear the burden of external risks.
The Secretary-General of the French-Arab Chamber indicated that this measure confirms the safety and speed of the Saudi move to confront any exhibitor, in light of international data, with no effects on the local consumer, as evidenced by many precautionary decisions taken by Saudi Arabia from the first moments of the announcement of the Corona virus, And it bears all economic consequences, from disrupting work, supporting economic institutions, supporting the World Health Organization, and other measures that it bears for the safety of citizens and residents on Saudi lands.