Saudis Could Get $21 Billion Non-Oil Boost in 2018, BofA Says - Bloomberg

Saudis Could Get $21 Billion Non-Oil Boost in 2018, BofA Says - Bloomberg:

"Saudi Arabia’s non-oil revenue could surge by about 80 billion riyals ($21.3 billion) next year, according to Bank of America Merrill Lynch, boosting the kingdom’s efforts to reduce the economy’s reliance on crude. The increase would be driven by the implementation of value-added taxation, a tax on luxury products and higher fees imposed on expatriates’ dependents, London-based economist Jean-Michel Saliba wrote in the report. The kingdom has already introduced a tax on soft drinks and tobacco this year. Saudi Arabia’s budget deficit narrowed in the second quarter this year, helped by a 28 percent increase in revenue from crude exports as well as a drop in spending. Non-oil revenue, however, dropped 17 percent, highlighting the kingdom’s struggle to diversify it economy as part of a plan spearheaded by Crown Prince Mohammed bin Salman."



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