Saudi Arabia's strong fiscal and external balance sheets

KSA, February 05, 2024 : Fitch Ratings has affirmed Saudi Arabia's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'A+' with a Stable Outlook. The rating reflects the Kingdom's strong fiscal and external balance sheets, with considerable government debt/GDP and sovereign net foreign assets (SNFA). 

Fitch forecasts SNFA to remain above 50% of GDP in 2024-2025, significantly higher than both 'A' and 'AA' medians. The agency also anticipates 4.5% real growth in the non-oil sector in 2024-2025, following an average of around 5% in 2022-2023. Additionally, fiscal reforms enhancing budget resilience to oil price volatility could positively impact the rating. 

Source : https://www.mof.gov.sa/en/Pages/default.aspx