Kingdom’s nominal GDP to hit SR 2.81 trillion

Saudi Arabia’s budget and external surpluses are expected to reach a new record level in 2013 due to high level of production and strong oil prices for the year.
Budget surplus is projected to reach SR 91.13 billion in 2013 with total revenue of SR 2.81 trillion as compared to SR 2.72 trillion last year, according to a report of Jadwa Investment firm.
“The growth would boost GDP per capita to $6,645 from last year’s $6,627, even though the country’s population is expected to increase by nearly 900,000 to 30.2 million in 2013,” said the company.
The report said that the Kingdom’s actual surplus is projected to grow to around SR 177.95 billion, boosted by higher oil prices, while actual revenue is expected to hit SR 1.04 trillion and spending to increase to SR 869.8 billion.
The crude production has been rising in Saudi Arabia since global recovery started in the middle of 2009. The average daily production was 8.3 million barrel per day in 2010, which jumped up to 9.3 million barrels daily in 2011 and 9.7 mbd in 2012 due to supply disruptions in Libya and other smaller oil producing countries.
According to the new index, average inflation was 2.9 percent in 2012 whereas it was 4.5 percent as measured by the old index.
The average food inflation was 4.6 percent in 2012, whereas old index put it at 4.4 percent.
Kingdom’s GDP growth rate averaged 5.1 percent reaching an all-time high of 27.5 percent in December 1974 and a record low of -11.1 percent in December 1982.