Saudi Arabia's 2026 budget: Cabinet to approve figures tomorrow
Local and international economists and investors will be focused on Riyadh on Tuesday, December 2, 2025 (corresponding to 11 Jumada al-Thani 1447 AH), as the Council of Ministers holds its extraordinary session to approve the state budget for the fiscal year 2026. This anticipated step reaffirms the Kingdom of Saudi Arabia's commitment to transparency and financial disclosure, which it has adopted as a cornerstone of its modern economic policies.
The 2026 budget: a pivotal milestone in the journey towards Vision 2030
The 2026 budget is of paramount strategic importance, coming at a crucial juncture that marks the culmination of many initiatives under Vision 2030. Following years of structural reforms and the launch of foundational projects, the new budget figures are expected to reflect a qualitative shift towards maximizing returns on previous government investments. Forecasts indicate continued expansionary spending, particularly on major capital projects such as NEOM, the Red Sea Project, Qiddiya, and Diriyah Gate, which are considered the driving force behind the economic transformation aimed at reducing dependence on oil.
Enhancing financial sustainability and spending efficiency
Historically, over the past decade, the Kingdom has worked to develop its public budget preparation mechanism, moving from traditional annual planning to medium-term financial planning through the “Financial Sustainability Program.” The 2026 budget is expected to reflect this trend by focusing on operational spending efficiency and directing resources toward high-priority sectors such as health, education, municipal services, and quality of life programs, while maintaining safe fiscal margins to address any potential global economic fluctuations.
Non-oil economic growth: The winning bet
In the context of economic analysis, the new budget is expected to highlight the continued strong growth in non-oil activities, an indicator that has seen remarkable progress in recent years thanks to the empowerment of the private sector. The 2026 fiscal policies aim to enhance the business environment, attract foreign direct investment, and support promising sectors such as tourism, entertainment, industry, and logistics, thereby contributing to the creation of more job opportunities for citizens.
Regional and international dimensions of the budget announcement
The announcement of the Saudi budget has repercussions not only domestically but also regionally and internationally, given the Kingdom's position as the largest economy in the Middle East and an active member of the G20. The world watches the Saudi budget figures as an indicator of the stability of energy markets, the scale of government spending that drives the region's economy, and the opportunities that mega-projects offer to global companies.
The session will be followed by a press conference by the Ministry of Finance, during which detailed figures for revenues and expenditures, levels of deficit or surplus, will be reviewed, and the most prominent financial and economic trends that will guide the Kingdom during the coming year will be highlighted.
