Saudi Arabia has posted its smallest quarterly budget deficit in more than two years, with the figure shrinking to just $1.2bn in Q2. After the first six months of 2021, the half-year deficit stands at $3.2bn, less than a tenth of the budgeted full year figure of $37.6bn.

Since Saudi Arabia last recorded a budget surplus in 2013, its smallest annual deficit has been 2014’s $26.8bn. Indeed, over the last seven years, the kingdom has accrued a massive cumulative deficit of $437bn. Spending often increases considerably in the second half of the year, but halfway through the year, Saudi Arabia is certainly in a strong position to post its smallest deficit since the 2014 oil price crash. (CONTINUED - 761 WORDS)