SAUDI: Government spending supports non-oil economy and requires further debt issuance

GULF COUNTRIES - Report 16 Jul 2019 by Rory Fyfe and Justin Alexander

The sharp slowdown in GDP growth in Q1 was due to voluntary oil production cuts and is not an immediate cause for concern. More positively, government spending in 2018 fed through into higher private non-oil sector growth in Q1 2019. Leading economic data indicates continued momentum in the non-oil economy in Q2. If oil prices remain around $65/barrel, sizable additional debt issuance is likely later in 2019, probably a dollar bond.

Now read on...

Register to sample a report

Register