Saudi Arabia's Expanding Deficit: A Vision 2030 Impact

Saudi Arabia's deficit widened to $15.65 billion in Q1 of 2025, driven by an 18% drop in oil revenues. The kingdom's public spending rose, pushing the deficit. Despite increasing non-oil revenues, Saudi Arabia forecasts further deficits as it invests in Vision 2030 to diversify its economy.

In the first quarter of 2025, Saudi Arabia's deficit rose to an alarming $15.65 billion compared to $3.30 billion a year prior, largely due to an 18% decline in oil revenues.

The kingdom, a leading global oil exporter, also experienced a 10% dip in total revenues, while public spending increased by 5%, according to its finance ministry.

Despite non-oil revenues witnessing a modest 2% rise, Saudi Arabia projects a budget deficit of 101 billion riyals in 2025, emphasizing continued financial challenges amid its Vision 2030 economic transformation efforts.