Saudi Arabia reports Q3 budget deficit of nearly $11bln

Saudi Arabia reports Q3 budget deficit of nearly $11bln

DUBAI- Saudi Arabia posted a budget deficit of 40.768 billion riyals ($10.87 billion) in the third quarter this year, the ministry of finance said on Wednesday, as oil revenue continued to drop amid low oil prices and production cuts.The deficit however more than halved when compared to the second quarter, amid an increase in overall government revenues.The world's largest oil exporter faces a steep economic contraction this year as the coronavirus crisis hits global demand for crude while virus containment measures weigh on non-oil economic sectors.Still, despite a 30% yearly drop in oil revenues in the third quarter to 92.582 billion riyals, total revenues increased by 4% year-on-year to 215.577 billion riyals, partly thanks to tax increases.Riyadh tripled a value-added tax to 15% in July to boost non-oil income, a