Saudi Arabia’s economic position, robust financial reserves and political stability are important factors enabling the Kingdom to ensure a strong economy, OKAZ newspaper reported citing an economist.
Abdul Wahid Al Matar said the major challenges facing the Saudi economy are to diversify sources of income.
Since the Kingdom started exporting oil in the middle of the 20th century, its budget has relied on the income generated from oil sale. In 2013, Saudi Arabia recorded $274 billion revenue from oil production, he said.
Al Matar also said Saudi Arabia supports commodity prices to ease living conditions, but the continuous growth of population (including foreigners) led to doubling costs to reach nearly $350 billion annually.
The economist called for boosting the contribution of industrial sector to the gross domestic product (GDP) through encouraging the private sector to establish major companies to cover the local needs of electrical appliances and industrial equipment.
Photo Credit: Arabianeye-Reuters
Abdul Wahid Al Matar said the major challenges facing the Saudi economy are to diversify sources of income.
Since the Kingdom started exporting oil in the middle of the 20th century, its budget has relied on the income generated from oil sale. In 2013, Saudi Arabia recorded $274 billion revenue from oil production, he said.
Al Matar also said Saudi Arabia supports commodity prices to ease living conditions, but the continuous growth of population (including foreigners) led to doubling costs to reach nearly $350 billion annually.
The economist called for boosting the contribution of industrial sector to the gross domestic product (GDP) through encouraging the private sector to establish major companies to cover the local needs of electrical appliances and industrial equipment.
Photo Credit: Arabianeye-Reuters
Source:
Mubasher
