The Saudi Arabia 2026 budget will continue its expansionary fiscal approach, according to Finance Minister Mohammed Al-Jadaan. Speaking on the upcoming fiscal plan, Al-Jadaan emphasized that government spending will remain robust to support medium-term economic stability, accelerate growth, and achieve the Kingdom’s Vision 2030 objectives.
The minister outlined that total government expenditure in 2026 is projected to reach approximately SR1.31 trillion, with continued increases through 2028 as economic activity strengthens. A significant portion of the budget—over SR533 billion—will be allocated to essential services such as health, education, and municipal programs, reflecting a commitment to improving quality of life and social infrastructure across Saudi Arabia.
Al-Jadaan stressed that recent fiscal deficits have been deliberate, designed to fund long-term projects that are expected to deliver returns exceeding borrowing costs. “Our expansionary approach is strategic,” he said, noting that investments in infrastructure, education, and technology will create lasting economic benefits. By prioritizing high-impact projects, the Kingdom aims to balance immediate fiscal needs with long-term growth objectives.
The Saudi Arabia 2026 budget highlights the growing contribution of non-oil sectors, which now constitute more than half of the national economy. Private investment has surged in recent years, supported by regulatory reforms, economic diversification initiatives, and investor confidence. Tourism, small and medium-sized enterprises (SMEs), and other emerging industries are playing an increasingly central role in shaping the Kingdom’s economic landscape.
Al-Jadaan confirmed that Vision 2030 targets remain largely on track, with most key performance indicators already meeting or approaching their benchmarks. The budget’s expansionary stance is expected to accelerate progress in sectors critical to the Vision, including renewable energy, digital economy development, tourism infrastructure, and human capital enhancement. These initiatives aim to reduce dependency on oil revenues and build a resilient, diversified economy for the future.
Economic projections remain optimistic. The Finance Minister expects real GDP growth of 4.4% in 2025 and emphasized efforts to maintain one of the world’s lowest inflation rates. The continued fiscal expansion is designed to sustain this growth trajectory, while providing funding for projects that stimulate private-sector activity and enhance competitiveness on a global scale.
The Saudi Arabia 2026 budget also underscores a strategic approach to balancing fiscal responsibility with economic stimulus. By deliberately incurring deficits in the short term to finance long-term high-return investments, the Kingdom aims to create a sustainable growth model that attracts global investors and supports private-sector expansion. Tourism surpluses, SME development, and improved investor confidence are expected to further reinforce economic momentum in the coming years.
Al-Jadaan highlighted the importance of effective implementation and monitoring, noting that transparency and accountability remain central to the Kingdom’s fiscal strategy. Regular assessments of spending efficiency, project outcomes, and alignment with Vision 2030 goals will guide adjustments and ensure maximum impact from the budget.
In conclusion, the Saudi Arabia 2026 budget represents a comprehensive plan to sustain growth, diversify the economy, and deliver long-term social and economic benefits. With expansionary spending, targeted investments, and a focus on Vision 2030 objectives, Saudi Arabia is positioning itself for robust economic performance while advancing its long-term development agenda.
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