An economic report issued by the Jadwa Investment Company (licensed by the Capital Market Authority) on the macroeconomic developments in Saudi Arabia showed the cohesion of the national economy in the Kingdom in light of the exceptional circumstances that beset the global economy resulting from the consequences of the outbreak of the Coronavirus.
The report revealed that the Kingdom's financial reserves are sufficient to cover Saudi imports by 4 years (47 months).
The Saudi Solvency Index comes in light of the unprecedented developments that resulted from the pandemic of the Coronavirus emerging (COVID 19) amid the government announcement of a set of stimulus packages aimed at supporting the private sector, with a special focus on small and medium enterprises, in addition to the sectors most affected in the local economy.
The report showed a decrease in the reserves of the Saudi Arabian Monetary Agency (SAMA) of foreign assets in February compared to January to reach $497 billion, indicating that the details of those assets indicate a decrease - on a monthly basis - in the category of “deposits in foreign banks” by about $4 billion, with a slight decline in the category of “foreign securities” during the same month.
Jadwa Investment believes, according to its estimates, that the size of the current foreign reserves with the Saudi Central Bank "SAMA" can cover about 47 months (4 years) of the Kingdom's imports, at $10.5 billion of goods and products that the Kingdom imports every month.
Source (Al-Sharq Al-Awsat newspaper, Edited)
