S&P Global Ratings has upgraded its outlook on Saudi Arabia from “Stable” to “Positive” while maintaining an ‘A/A-1’ credit rating for both long- and short-term foreign and local currency.
The agency attributes this positive outlook to Saudi Arabia’s extensive reforms and investments, which are expected to foster the growth of the non-oil sector and ensure sustainable public finances.
Vision 2030 initiatives are anticipated to drive robust non-oil economic growth in the medium term. Additionally, adjustments to major infrastructure projects are expected to mitigate fiscal pressures.
From 2024-2027, Saudi Arabia’s GDP is projected to grow due to increased investments in the non-oil sector, higher consumption rates, and the anticipated emergence of a diversified economy that will generate more employment opportunities for the youth.