IMF: Kingdom has high-performing economy, helps stabilize global oil market
July 14, 2013
Saudi Arabia has had one of the best performing economies of the G-20 countries in recent years and has played a positive role in the global economy by stabilizing oil markets, the International Monetary Fund (IMF) has reported. In a press release issued by the IMF Executive Board at the conclusion of its 2013 Article IV Consultation with the Kingdom, the organization noted that the Saudi economy grew by 5.1 percent last year, buoyed by high oil prices and output, strong private sector growth, and government spending. The report noted that credit growth has remained strong, the banking system is well-capitalized and profitable, fiscal and current account surpluses remain large, and international reserves have grown. The IMF expected a continued positive economic outlook for the Kingdom, with growth expected to continue at 4 percent this year.
According to the press release, the IMF Assessment Executive Directors welcomed both the continued strength of the Saudi economy and the stabilizing role the country plays in the global oil market. They also acknowledged the Kingdom as an important source of financial assistance and remittances for developing countries. Finally, the IMF officials praised the Saudi government’s efforts to strengthen fiscal management and its large investments in education and infrastructure.