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Saudi Budget Expected to Reveal Shift from Deficit to Surplus for First Time in 8 Years

The surplus from the country’s general budget would be directed to boost government reserves and support national funds. (SPA)
The surplus from the country’s general budget would be directed to boost government reserves and support national funds. (SPA)
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Saudi Budget Expected to Reveal Shift from Deficit to Surplus for First Time in 8 Years

The surplus from the country’s general budget would be directed to boost government reserves and support national funds. (SPA)
The surplus from the country’s general budget would be directed to boost government reserves and support national funds. (SPA)

The Saudi cabinet is expected to approve the news state budget on Wednesday. 

Experts told Asharq Al-Awsat the budget would reflect the start of a new financial phase, with the end of the deficit that has continued since 2014.  

They explained that the surplus from the country’s general budget would be directed to boost government reserves and support national funds, while emphasizing the success of the government’s financial reforms.  

Fadl Al-Buainain, member of the Shura Council, told Asharq Al-Awsat that the budget for the coming year is expected to register the highest figures during the current decade, with the start of a new financial phase in which the surpluses begin to be harvested.  

He expected this year’s surplus to reach 90 billion riyals ($24 billion), compared to an actual deficit of 73 billion riyals ($19.4 billion) in 2021.  

According to a preliminary statement, revenues for the current year are expected to reach 1.222 trillion riyals ($325.8 billion), and expenditures 1.132 trillion riyals ($301.8 billion), he revealed.  

He added that the government succeeded in completing its financial reforms, achieving fiscal balance, ending the deficit, and focusing on strategic spending according to a disciplined vision that achieves stability, despite the difficult geopolitical and economic conditions in the world.  

Dr. Salem Bajaja, professor of economics at the University of Jeddah, told Asharq Al-Awsat that next year’s budget forecasts confirm the success of government policies.  

He added that the government would maintain financial support in relation to the volume of expenditures in the most important sectors, namely health and education, and the improvement and rehabilitation of public services to include all fields in the Kingdom.  

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Presidential Election: A Crucial First Step toward Saving Lebanon from Economic Crisis

The vacant presidential seat at Baabda Palace after President Michel Aoun's term ended (Reuters)
The vacant presidential seat at Baabda Palace after President Michel Aoun's term ended (Reuters)
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Presidential Election: A Crucial First Step toward Saving Lebanon from Economic Crisis

The vacant presidential seat at Baabda Palace after President Michel Aoun's term ended (Reuters)
The vacant presidential seat at Baabda Palace after President Michel Aoun's term ended (Reuters)

Since 2019, Lebanon has faced one of its worst economic crises in modern history, affecting all aspects of life. The local currency has lost over 95% of its value, driving inflation to record levels and making goods and services unaffordable. Poverty and unemployment have surged.
Amid this, political divisions have paralyzed government action, preventing any effective response to the crisis.
The recent war with Israel added to the burden, causing huge human and material losses estimated by the World Bank at $8.5 billion. This has made Lebanon’s economic and social struggles even harder to resolve, with no president in place to lead the country.
The presidential post in Lebanon has been vacant since President Michel Aoun's term ended in October 2022, leaving the country without a leader to address growing economic and financial issues.
This vacancy has stalled government formation, making it difficult for Lebanon to negotiate with international donors like the International Monetary Fund (IMF), which demands major reforms in exchange for aid.
Choosing a new president is now a critical priority, not only to regain local and international confidence but also to begin the long-needed reforms.
One major challenge the new president will face is the reconstruction effort, which is estimated to cost over $6 billion. This is a huge financial burden that will require significant resources and effort to secure funding.
Reconstruction in Lebanon is not just about fixing infrastructure or repairing damage; it is a key test of the country’s ability to restore its role on the regional and international arena.
To achieve this, Lebanon needs a president with a clear vision and strong international connections, able to engage effectively with donor countries and major financial institutions.
Without credible and unified political leadership, Lebanon’s chances of gaining external support will remain limited, especially as international trust has been shaken by years of mismanagement and lack of reforms.
Keeping Lebanon’s deepening crises in mind, the people are hoping that electing a new president will offer a chance for economic and political recovery.
The new president, along with a strong government, is expected to rebuild trust both locally and internationally and restore political stability—key factors for stopping the economic decline and encouraging growth.
For instance, reviving Lebanon’s vital tourism sector will require better security and restoring confidence in the country as a safe place for investment.
This can only happen with political leadership that has a clear plan for reconstruction and necessary reforms.
Given Lebanon’s ongoing financial struggles, the new president’s ability to address these challenges will be critical to rescuing the country and guiding the economy toward recovery and sustainable growth.