Weekly Market Brief – 9/10/2021

Saudi Arabia Macroeconomic Developments

• Saudi Aramco cut prices of all crude grades destined for Asia by SAR4.88 ($1.30) to a premium of SAR263 ($70) per barrel for October while leaving prices for North America and Europe unchanged. It was the first price cut in four months.

• The Saudi government will bear value-added tax (VAT) on private educational services provided to citizens, according to the General Authority for Zakat and Tax (GAZT). Authorities announced in October 2020 that real estate transactions would also be exempted from the VAT and instead subjected to a 5 percent real estate transaction tax.

• Saudi Arabia lifted a travel ban to and from the U.A.E., South Africa, and Argentina last week. Travel restrictions had been implemented amid a surge in delta variant cases in those countries. In August, the Kingdom lifted travel restrictions on expatriates from 20 countries and resumed the issuance of tourist visas.