Riyadh: Credit rating agency S&P Global has reaffirmed Saudi Arabia’s sovereign credit rating at A+ with a stable outlook.
In its latest report, the agency said the rating reflects the Kingdom’s strong policy flexibility, including its ability to redirect crude oil exports to the Red Sea through the East-West pipeline and its substantial oil storage capacity. These factors, it noted, help cushion the economy from potential disruptions linked to tensions in the Middle East.
The stable outlook also reflects expectations that solid momentum in the non-oil sector, along with the government’s ability to prioritise spending, will support the country’s economic performance and fiscal position.
S&P Global forecasts real GDP growth of 4.4% in 2026, with average growth of 3.3% between 2027 and 2029. Expansion in non-oil industries is expected to continue supporting medium-term growth. The non-oil sector, including government activities, now accounts for about 70% of GDP, up from 65% in 2018, highlighting progress in economic diversification.
Although government debt is projected to increase, the agency expects authorities to maintain strong fiscal buffers, supported by a sizeable net asset position for the general government.
It also noted that even before recent geopolitical tensions, the Kingdom had already begun prioritising diversification projects under Saudi Vision 2030 to better align development plans with available resources.
S&P Global said it expects Saudi Arabia to continue following a prudent and flexible fiscal strategy while pursuing the objectives of Vision 2030 without undermining public finances.
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