Saudi Arabia to reconsider VAT upon GDP growth: Minister

Saudi Arabia to reconsider VAT upon GDP growth: Minister

RIYADH — The Minister of Finance Mohammed Al-Jadaan has said that tripling value-added tax (VAT) to 15% was the best among the bitter choices the government took during 2020.

Al-Jadaan, among three ministers, spoke about the achievements made by Vision 2030 during the past five years. Al-Jadaan leads the Financial Sector Development Program, Privatization Program and Fiscal Sustainability Program.

The dialogue session included the Minister of Health Tawfiq Al-Rabiah as the head of the Health Sector Transformation Program and Minister of Tourism Ahmed Al-Khatib as the head of the quality of life program and the Adviser at the Royal Court Muhammad Al-Tuwaijri, who heads the national transformation program.

The Minister of Finance said that the Kingdom saved more than SR400 billion from government spending and the private sector contribution rose from 45% to 51% in 2020.

“Saudi Arabia will reconsider the value-added tax (VAT) upon achieving certain objectives, such as the Kingdom’s gross domestic product (GDP) growth, economic broadening, and a steady rise in oil price,” Al-Jadaan added.

On the other hand, the Minister of