/ Stephen Kalin
Saudi Finance Minister Mohammed Al-Jadaan announced today, Wednesday, that Riyadh has approved a partial reduction in its budget by about 50 billion riyals, as part of financial measures to counter the effects of the outbreak of the Corona virus.
Al-Jadaan said: “In view of the economic and global conditions resulting from the consequences of the global epidemic,” Covid-19 “, and the sharp decline in the expectations of the growth of the global economy and its negative impact on oil markets, and its direct impact on public finances in the Kingdom, the government has taken measures to reduce the impact of Lower oil prices, and additional measures will be taken to deal with the expected price drop. “
The minister indicated that the government worked on preliminary measures to ensure the provision of the financial requirements necessary to implement preventive and direct measures to deal with the consequences of the epidemic and limit its spread to protect government installations and agencies and the continuity of their work.
He stressed that the government will provide all the additional credits required, and the necessary health services for prevention, treatment and non-proliferation, while emphasizing the priority of social spending, and reorienting government spending in the social and economic phase required.
He pointed out that Riyadh has maintained huge government reserves and assets that enable it to deal with emerging challenges, and reduce the impact on its goals in maintaining financial sustainability and economic stability in the medium and long term.
He considered that it is possible to re-evaluate the developments, review the items of expenditures and take appropriate decisions if the effects of the spread of the Corona virus and its consequences on the global economy worsen.