IMF holds Saudi Arabia 2022 economic growth forecast at 7.6%

IMF holds Saudi Arabia 2022 economic growth forecast at 7.6%

Dubai: The International Monetary Fund (IMF) on Wednesday maintained its economic growth forecast for Saudi Arabia even as concerns persist that the global economy may heading towards a recession. Saudi Arabia’s economy was still projected to grow by 7.6 per cent this year, which the IMF said would likely be one of the fastest growth rates in the world, helped by strong oil demand and 4.2 per cent expected growth in the kingdom’s non-oil sector. Inflation in Saudi Arabia - expected at 2.8 per cent this year - was contained and there had been limited fallout for the kingdom from Russia’s attack on Ukraine, the IMF said. Saudi Arabia’s government has forecast its economy to grow by 7.4 per cent this year. A surge in demand for oil has helped Saudi Arabia, the world’s biggest oil exporter, refill state coffers hammered during the COVID-19 pandemic. Government officials have said the kingdom would restrict spending and conserve cash rather than let oil price booms drive spending like it had in the past. IMF Mission Chief Amine Mati told Reuters he believed Saudi Arabia would maintain control over spending although the IMF said in its report there was scope for more targeted