The International Monetary Fund (IMF) expects Saudi Arabia's non-oil economy to grow 4.4 percent over the medium term after a decline in 2024. The economy is expected to grow at an average of 3.7 percent per year after 2025. The IMF's Executive Board endorsed Saudi Arabia's move to recalibrate and direct investment spending.
In the 2024 Article IV consultation report with Saudi Arabia, the IMF indicated that the peg of the riyal to the dollar is still appropriate for economic conditions. According to the IMF, Saudi banks and non-financial companies are able to withstand even under very negative scenarios.
The IMF recommended more efforts to support non-oil revenues in Saudi Arabia, and the gradual elimination of remaining fuel subsidies with the implementation of programs for eligible groups.
Source (Al-Arabiya.net Website, Edited)
