We are in a race against time to achieve the Kingdom's vision 2030, Prince Mohammed bin Salman announces 4 Riyadh

  • 2/5/2023
  • 13:38
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Asked about the plan to overcome the unemployment phenomenon following the recession in the local market, Deputy Crown Prince said that any reform process and restructuring of the country's economy will have side effects. It is obvious that, in view of oil price falling to a $ 27 low for a long time and ranging to no more than $ 40, many symptoms will affect the state's expenditure. These 10 programs cover various expenditures ranging from investment to private sector, strongly and mainly stimulating job creation in the coming few years. As everybody knows, the goal of vision 2030 is to reach a 7% unemployment in the Kingdom of Saudi Arabia. These programs will, no doubt, push us to a better international classification in 2020 than we are today. In reply to a question on the reason behind imposing and then re-instigating the allowances, the Deputy Crown Prince recalled that the decision to stop the allowances was a temporary one to be reviewed periodically. He went on to say that one factor for taking the new step was the improvement in our oil revenues. He drew the attention to the fact that the doctrine behind tackling the financial off-set program was based on three scenarios pertaining to oil price: a pessimistic scenario of $ 45, an average scenario of $ 50 and an optimistic one of $ 55. Accordingly, we were adjusting our securities to different oil prices. During the first quarter of 2017, we were close to the optimistic scenario, which is $ 55, sometimes over, sometimes a bit less. This is a positive element. The other positive factor is that our non-oil revenues in the first quarter of 2017 achieved more than expected, nullifying the decision to deprive the public from their allowances. The overall issue is considered a great job done by competent authorities in the financial and economic, investment fields who accomplished it in just eight months. A very great effort was exerted to strike an historic OPEC non-OPEC oil price and production agreement, a measure strengthening our position in terms of government oil revenues in addition to actions carried out in the field of non-oil revenues. Investments and restructuring many sectors that come under the Public Investment Fund contributed to levying such revenues which also strengthened our position and helping taking such a decision. --More 23:14 LOCAL TIME 20:14 GMT www.spa.gov.sa/w391570

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