Saudi Arabia Macroeconomic Developments
- The Kingdom’s Purchasing Managers’ Index (PMI) stood at 55.4 points in January, indicating economic expansion, as it is above the 50-point threshold. However, the PMI declined MoM from 57.5 points and is attributed to softening expansion rates due to inflationary pressures and increasing purchasing costs.
- The total value of remittances during 2023 amounted to SAR124.9 billion ($33.3 billion), with average daily transfers of SAR342.2 million ($91.3 million). This figure shows a fall of 12.81 percent YoY from SAR143.24 billion ($38.2 billion), according to data provided by the Saudi Central Bank (SAMA).
- Fitch Ratings affirmed Saudi Arabia at ‘A+’ reflecting the Kingdom’s strong fiscal and external balance sheets, with government debt/GDP and sovereign net foreign assets (SNFA) considerably stronger than both the ‘A’ and ‘AA’ medians. The Kingdom also has significant fiscal buffers in the form of deposits and other public sector assets.
