Riyadh, May 01, 2020, SPA -- The international credit rating agency "Moody's" affirmed today, Friday, that Saudi Arabia's credit rating remains at "A1", while outlook was revised from stable to negative as a result of the external shocks, explaining that based on the increased negative risks associated with the global crisis of the spread of Covid-19, which is characterized by great uncertainty as well as global growth rates based on the severity and length of the pandemic. Moody's confirmed in its report that KSA's credit rating is also backed by an effective monetary policy that maintains the credibility of the exchange-rate peg and financial and macroeconomic stability. There are also improvement signs of the effectiveness of fiscal policy resulting from structural fiscal reforms, including a medium-term fiscal management framework. Moody's highlights that the non-oil-based economy diversification plans of the Kingdom of Saudi Arabia can raise the potential for growth in the medium term. On the fiscal front, the agency estimates a rise in the budget deficit for the FY 2020 from 8.7% to 12% of GDP. The size of the public debt to GDP would reach 38% for the year 2020, and up to 45% in the medium term, as estimated by the agency. The agency pointed that Saudi Arabia is the second largest oil producer (including natural and condensed gas) in the world. It has significant reserves, the lowest extraction costs worldwide and a high degree of competitive advantage over other oil producing nations. It is worth noting that, "Fitch" announced its rating for the Kingdom last week, which confirmed the long-term credit rating of Saudi Arabia at "A" with a stable outlook. These positive estimates of global credit rating agencies confirm the great confidence the Saudi economy enjoys. They also reflect the strength of the Kingdom's financial position and its ability to continue to grow and face challenges, especially in light of crises and the exceptional circumstances the world is currently witnessing. --SPA 03:40 LOCAL TIME 00:40 GMT 0027 www.spa.gov.sa/w1319569