Belton Financial expected Saudi Arabia to achieve the highest economic growth in 9 years at 4.9 percent in 2022, thanks to the increase in oil production and the strong improvement of the non-oil sector.
According to Belton in a research note, oil production in the Kingdom is expected to reach an average of 10.2 million barrels in 2022, which will be reflected in the growth of petroleum GDP by about 7.8 percent on an annual basis. And it indicated that Saudi Arabia will raise the basic level from which it reduces its oil production from 11 million barrels per day currently to 11.5 million barrels as of May 2022.
Belton expected the non-oil sector to continue to grow by 2.9 percent in 2022, supported by the growth of the real estate, financial technology, wholesale and retail sectors. While investment spending will grow by 7.4 percent to 628.6 billion Saudi riyals in 2022, as Saudi government-owned funds are investing in development projects in the Kingdom, with the transportation, logistics and digital infrastructure sectors at the top of its priorities.
According to Belton, the current account surplus will improve with the support of an increase in oil prices to an average of $79.2 a barrel in 2022, compared to its estimated price this year at $71.5 a barrel.
Source (Al-Arabiya.net website, Edited)