The Saudi Economy in 2021
Macroeconomic ReportLooking out into 2021, while there is still a considerable degree of uncertainty as a result of the prevalence of COVID-19 and its potential impact on the non-oil economy, we nevertheless expect a broad-based recovery. Our forecast assumes between 15-20 percent of the adult population being vaccinated against COVID-19 by mid-2021, and 70 percent by year end. As such, we see a quarter-on-quarter improvement in the Saudi non-oil economy, with this recovery being more vigorous in the second half of 2021.
G20 in Saudi Arabia – January 2020
Macroeconomic ReportThe G20 (or Group of Twenty) is an international forum for the governments of 19 countries and the European Union (EU). Founded in 1999, the G20 was set-up to discuss policy pertaining to the promotion of international financial stability.
Financing trends for listed companies
Macroeconomic ReportAccess to long-term financing for companies listed on the Saudi stock market has been hit by the greater risk aversion of local commercial banks, but companies have utilized other sources of finance to make up for much of the shortfall.
Regional troubles hit Saudi markets
Macroeconomic ReportFinancial markets in Saudi Arabia are expected to remain volatile in the current period of regional political unrest. We think that investors should be cautious given the rapidly evolving events.
Debt, downgrade and Saudi Arabia
Macroeconomic ReportAugust has so far been a very volatile month for financial markets. The chances of a new global recession have risen, though the more probable outcome is a period of low economic growth. It is likely that the Kingdom’s stock market will remain volatile, but oil prices are still at a level that will support the high government spending that will drive the Saudi economy.
