World Bank raises its outlook for the growth of Saudi economy

The World Bank has raised its outlook for the growth of the Saudi economy for the current year to 1.8 percent, expecting it to strengthen by 2.1 percent to 2.3 percent in 2019 and 2020.

According to the World Bank report on Global Economic Prospects for the month of June as published on its website, its projection for the Saudi Kingdom’s economy has increased for this year by 0.6 percent compared to January projections which was at 1.2 percent.

The report added that economic growth in Saudi Arabia is forecast to expand an upwardly revised 1.8 percent this year and 2.1 percent next year.

As for its projection for other countries in the Middle East and North Africa the report pointed out that growth in the region is projected to strengthen to 3 percent in 2018 and to 3.3 percent in 2019, largely as oil exporters recover from the collapse of oil prices.

It added that growth among members of the Gulf Cooperation Council (GCC) is anticipated to rise to 2.1 percent in 2018 and 2.7 percent in 2019, supported by higher fixed investment.

The World Bank report highlighted that oil importing economies are forecast to see stronger growth as business and consumer confidence gets a lift from business climate reforms and improving external demand. Egypt is anticipated to grow 5 percent in Fiscal Year 2017-2018 (July 1, 2017-June 30, 2018) and 5.5 percent the following fiscal year.