The total budget of the Kingdom reached a surplus in the second quarter of 2022 and amounted to 77.91 billion rials. According to the budget execution report released yesterday, total revenues in the second quarter of 2022 amounted to 370.37 billion rials compared to expenditures of 292.46 billion rials. The budget surplus in the first half of 2022 amounted to 135.4 billion rials; As a result, revenues of 648.32 billion rials were achieved compared to expenditures of 512.93 billion rials. The government expected to achieve a surplus of 90.09 billion rials in the 2022 budget with revenues of 1.045 trillion rials compared to expenditures of 955 billion rials. The Ministry of Finance released the actual budget data for the second quarter, according to which revenues exceeded 370.3 billion rials, including oil revenues of 250 billion rials. The value of non-oil revenues was 120 billion rials in the second quarter, in addition to 10.2 billion rials, income tax, profits and capital gains, 64 billion rials, tax revenue from goods and services, and 19 billion rials, other taxes. . The budget surplus exceeded 135 billion rials in the first half of 2022, including 57.5 billion rials in the first quarter of 2022 and 77.9 billion rials in the second quarter. Total revenues in the first half of 2022 increased by 43% to 648.3 billion rials compared to 452.8 billion rials in the first half of 2021. The total actual expenditure for the second quarter of 2022 was about 292.4 billion rials, compared to 292.45 billion rials. , in the second quarter of 2021 an increase of 16%.
39% spending on education, health and social services
The quarterly budget execution report for the second quarter of this year showed that education, health and social services accounted for about 39% of budget expenditures for the first half of this year, which indicates the state’s interest in basic citizen services and their modernization. According to the data, spending on health and social development amounted to about 99.5 billion rials in the first 6 months of this year compared to 91.8 billion rials in the same period last year, an increase of 8%, which shows that the state continues to meet all health needs while continuing to provide the vaccines and services needed to fight the Corona virus.
The data show that spending on health and social development in the first half of this year is 72% of the approved amount for the sector, which means that spending on the sector will exceed the approved amount by the end of the second half of this year. , which confirms the readiness of the state to increase allocations for health care and social development in accordance with the requirements and needs.
At the education sector level, the data showed that the state spent about 98.3 billion rials on the sector during the first 6 months of this year, which is 8% more than in the same period last year, and what was spent on the sector was 53% of the approved budget for the current year.
12% increase in military spending
Budget data show that military spending in the first half of this year increased by 12% year-on-year to reach a record 105.1 billion rials compared to 93.9 billion rials in the same period last year, indicating a desire states to protect their security and provide for any requirements that would strengthen military capabilities.
Stop external borrowing
Public debt rose to 966.519 billion rials at the end of the second quarter of this year, an increase of 28.509 billion rials from the end-2021 level of 938.01 billion rials. According to the budget statement, the increase was due to local issuance and borrowing, amounting to 83.008 billion rials in the first 6 months of 2022, while about 36.997 billion rials of principal debt was repaid in the same period. According to the statement, the level of external debt has decreased to 361.761 billion rials, which is 17.502 billion rials compared to its level at the end of 2021, which was 379.263 billion rials, which means that the government did not issue any international debt obligations during the first half of this year. , and was paid 17.5 billion real external debt.
32% of revenue is not related to oil
Non-oil revenues increased by 3% in the second quarter of this year to reach 120 billion rials compared to 115.9 billion rials in the same period last year. Non-oil revenues accounted for about 32.4%, while oil revenues accounted for about 67.6% of total revenues in the second quarter of 2022 after standing at about 250.36 billion rials compared to 132.1 billion rials for the same period last year.
Highest quarterly surplus since 2016
The surplus reached in the second quarter of 2022 is the highest quarterly surplus since the ministry began announcing the budget quarterly from early 2016.
Between the first quarter of 2016 and the end of the second quarter of 2022, the budget surplus was recorded in only four quarters: in the first quarter of 2019 – 27.8 billion rials, in the third quarter of 2021 – 6.7 billion rials and in the first quarter of 2022 of the year. by 57.5 billion rials in addition to what was achieved in the second quarter.
The surplus was formed mainly due to the sharp rise in oil prices, which exceeded $100 per barrel.
Budget in the second quarter.. numbers and readings
90 billion rials, expected surplus in 2022.
The surplus in the second quarter was 78 billion rials.
Surplus of 57 billion rials in the first quarter.
The total income in the second quarter was 370 billion rials.
The total expenditure for the second quarter was 292 billion rials.
648 billion rials of income for the first half of the year.
Spending for the first half of the year is 513 billion rials.
250 billion rials of oil revenue in the second quarter.
120 billion rials of non-oil revenues.
12% increase in military spending.
Achieving the highest quarterly surplus in 6 years.
39% of the budget for education, health and social services.
Stop external borrowing.
The public debt has increased by 28 billion rials.
