Saudi Shura Council Calls for Govt Expenditure Efficiency Index

Ongoing works at Masar - one of the most qualitative development projects in Makkah. (Asharq Al-Awsat)
Ongoing works at Masar - one of the most qualitative development projects in Makkah. (Asharq Al-Awsat)
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Saudi Shura Council Calls for Govt Expenditure Efficiency Index

Ongoing works at Masar - one of the most qualitative development projects in Makkah. (Asharq Al-Awsat)
Ongoing works at Masar - one of the most qualitative development projects in Makkah. (Asharq Al-Awsat)

The Saudi Shura Council asked the Expenditure Efficiency and Projects Authority to work with the National Center for Performance Measurement (Adaa) to study the inclusion of the Expenditure Efficiency Index within the government entity’s performance indicators.

During its 24th regular session on Monday, the Council asked the authority to prepare an integrated study in order to identify all gaps and ensure efficient government spending in all projects.

Speaker Dr. Abdullah Al-Sheikh chaired the session during which the members discussed the recommendations presented by the Council’s financial committee.

In this regard, Shura Council member, Eng. Ali Al-Qarni, told Asharq Al-Awsat that the new move aimed at improving the effectiveness of expenditures in the government to achieve the objectives of the financial budget through the optimal use of state resources.

He added that this step would help attain the best service and the highest quality in return for the generous spending provided by the government.

According to Al-Qarni, achieving expenditure efficiency was one of the important strategic pillars to reach financial balance through a body that works to supervise and support government agencies to enable them to develop their initiatives and remove obstacles hindering their implementation.

The body will also propose the necessary legislation, tools, regulations and frameworks to ensure sustainability through practical strategies and methodologies according to the best international practices.

Achieving spending efficiency will have an economic and developmental impact on government spending especially in government and technology procurement, digital transformation and the initiatives of Vision 2030, the Shura Council member said.



IMF Warns Asia Retaliatory Tariffs Could Undermine Growth

A man walks with his bicycle along a crosswalk in Beijing, China, 16 November 2024. (EPA)
A man walks with his bicycle along a crosswalk in Beijing, China, 16 November 2024. (EPA)
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IMF Warns Asia Retaliatory Tariffs Could Undermine Growth

A man walks with his bicycle along a crosswalk in Beijing, China, 16 November 2024. (EPA)
A man walks with his bicycle along a crosswalk in Beijing, China, 16 November 2024. (EPA)

The International Monetary Fund (IMF) warned on Tuesday that "tit-for-tat" tariffs could undermine Asia's economic prospects, raise costs and disrupt supply chains even as it expects the region to remain a key engine of growth for the global economy.

"The tit-for-tat retaliatory tariffs threaten to disrupt growth prospects across the region, leading to longer and less efficient supply chains," IMF Asia-Pacific Director Krishna Srinivasan said at a forum in Cebu on systemic risk.

Srinivasan's remarks come amid concerns over US President-elect Donald Trump's plan to impose a 60% tariff on Chinese goods and at least a 10% levy on all other imports.

Tariffs could impede global trade, hamper growth in exporting nations, and potentially raise inflation in the United States, forcing the US Federal Reserve to tighten monetary policy, despite a lackluster outlook for global growth.

In October, the European Union also decided to increase tariffs on Chinese-built electric vehicles to as much as 45.3%, prompting retaliation from Beijing.

The IMF's latest World Economic Outlook forecasts global economic growth at 3.2% for both 2024 and 2025, weaker than its more optimistic projections for Asia, which stand at 4.6% for this year and 4.4% for next year.

Asia is "witnessing a period of important transition", creating greater uncertainty, including the "acute risk" of escalating trade tensions across major trading partners, Srinivasan said.

He added that uncertainty surrounding monetary policy in advanced economies and related market expectations could affect monetary decisions in Asia, influencing global capital flows, exchange rates, and other financial markets.