Saudi Arabia achieved a budget surplus of SAR103.9 billion ($27.68 billion) in 2022, a 13 percent increase over previous estimates, due to higher oil prices boosting government revenues.
According to the Saudi Ministry of Finance, the Kingdom’s real GDP increased by 8.7 percent in 2022, resulting in a budget surplus for the first time in nearly a decade.
The Kingdom previously estimated that it would have a surplus of SAR102 billion, or about 2.6 percent of GDP, in 2022, but that it expected a smaller surplus in 2023.
Total Saudi revenues in 2022 were approximately SAR1.27 trillion, a 31 percent growth over 2021 and slightly higher than expected.
Total oil revenues in 2022 amounted to around SAR857.3 billion, a 52 percent increase over the previous year.
According to a Ministry of Finance report, non-oil revenues rebounded in the fourth quarter, increasing 19 percent from the same period the previous year, outperforming oil revenues, which increased 17 percent.
Total spending in 2022 surged to SAR1.16 trillion, up 12 percent from the previous year.
Saudi Arabia had a fiscal surplus in the first three quarters of 2022, but showed a deficit of SAR45.7 billion in the fourth quarter as OPEC+ reduced its oil production.
At the end of 2022, the Kingdom’s total public debt was just over SAR990 billion.
The Saudi Ministry of Finance revealed estimates for the Saudi budget for 2023, which include surplus expectations of SAR9 billion ($2.39 billion).
The ministry said it expects to achieve revenues of SAR1.123 trillion ($298.6 billion) next year, compared to expenses at SAR1.114 trillion ($296.2 billion).
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Growth figures in 2022
Furthermore, according to the General Authority for Statistics in Saudi Arabia, the Saudi economy grew by 5.5 percent in the fourth quarter of 2022 compared to the same period a year ago, as non-oil activities boosted overall growth.
Non-oil activities increased by 6.2 percent on a quarterly basis, outpacing the 6.1 percent increase in oil activities.
Oil and gas activities accounted for less than 30 percent of GDP in the fourth quarter, as non-oil and gas sectors continued to gain momentum.
In the fourth quarter, government services contributed 15.2 percent of GDP, the second highest contribution after oil and gas.
Over the next three to five years, the kingdom anticipates non-oil GDP growth of 6 percent or higher.
Moreover, a survey observed the non-oil business sector in Saudi Arabia rose in February to its highest level in eight years, owing to a strong boom in demand and an optimistic economic outlook.
