Saudi Ministry of Finance Welcomes the Concluding Statement of the 2025 Article IV Mission

The Saudi Ministry of Finance welcomed the Concluding Statement issued by the International Monetary Fund (IMF) experts following the conclusion of their visit for the 2025 Article IV Consultation discussions. The statement affirmed the strong resilience of the Saudi economy in the face of global economic shocks, supported by the expansion of non-oil sector activities, containment of inflation, and a historically low unemployment rate — all aligning with the objectives of Saudi Vision 2030.

The IMF experts commended the government’s efforts in strengthening the sustainability of public finance and enhancing its resilience to shocks. The statement also noted that strong domestic demand continues to support economic growth despite rising global uncertainty, reflecting the Kingdom’s ongoing implementation of Vision 2030 projects through both public and private investments. This growth is further supported by strong credit expansion.

The statement highlighted the Kingdom’s success in containing inflation, which rose slightly to 2.3% in April 2025. Inflation is expected to remain stable at around 2%, supported by the continued peg of the Saudi riyal to the US dollar, domestic government support, lower transportation and communication costs, and a slowdown in residential rent inflation. Imported inflation, resulting from rising global tariffs, is also expected to remain under control.

IMF experts also praised the role of the Saudi Central Bank (SAMA) in enhancing its liquidity management framework to help in achieving liquidity conditions. The mission also commended the Bank’s ongoing efforts to strengthen regulatory and supervisory frameworks, as well as its continued work to improve the effectiveness of oversight and regulation.

The statement reviewed national reforms since 2016, affirming that the Kingdom has implemented wide-ranging reforms in business regulation, governance, labor, and capital markets. It pointed to the new regulations that came into effect in 2025, such as the updated investment law, amendments to the labor law, and the new commercial registration system. These reforms are expected to boost investor and business confidence in the business environment and contribute to productivity gains, underscoring the importance of continuing structural reforms to sustain non-oil sector growth and economic diversification.

The statement stressed the importance of the government’s continued efforts to strengthen the fiscal framework in support of public finance sustainability and the achievement of the objectives of Vision 2030, highlighting the need to prioritize the enhancement of the medium-term fiscal framework.

The Concluding Statement of the Article IV Consultation outlines the preliminary findings of IMF experts at the end of their official mission. These missions are conducted as part of the IMF’s annual consultations under Article IV of the IMF’s Articles of Agreement and may also be part of broader surveillance discussions or follow-up monitoring by IMF experts on economic developments.