Riyadh – Mubasher: The Executive Directors of the International Monetary Fund (IMF) supported the decision to recalibrate investment spending in Saudi Arabia, noting that it helped reduce the risks of an economic boom.
They also recommended additional fiscal adjustment to maintain strong buffers and meet intergenerational needs, including through additional efforts to enhance non-oil revenue, eliminating the remaining fuel subsidies while containing the wage bill.
In the same vein, the directors agreed that the exchange rate peg to the U.S. dollar serves the Saudi economy, highlighting that the policy rate should continue moving in line with the Fed’s rate.
Additionally, the IMF officials welcomed robust non-oil economic activity, stable inflation, record-low unemployment, and an abundance of fiscal and external buffers.
The Executive Directors lauded the Kingdom for its ongoing economic transformation and sustained efforts to diversify the economy under Vision 2030.
Global meeting point 24 Fintech is currently taking place in Riyadh, providing a platform for global industry stakeholders to bolster collaborative fintech transformation.
