#Saudi targets reserves not falling below set GDP level -finance minister | Reuters

Saudi targets reserves not falling below set GDP level -finance minister | Reuters

Saudi Arabia's policy on fiscal sustainability would ensure that reserves do not fall below a certain percentage level of the country's gross domestic product, its finance minister said.

The world's biggest crude exporter, whose economy is estimated at $1 trillion, said in its budget for 2022 that the Fiscal Sustainability Programme aims to de-couple the economy from oil price fluctuations, realising several economic benefits for the non-oil economy and the private sector.

"We are at a final stages of designing our fiscal sustainability policy," Minister of Finance Mohammed al-Jadaan told Reuters on the sidelines of the World Economic Forum.

"According to that policy, our reserves shall not fall below a certain percentage level of GDP. That figure would be in the double digits," he added.

Jadaan said excess money can go towards the Public Investment Fund (PIF), Saudi Arabia's $600 billion sovereign wealth fund, and the National Development Fund (NDF).