Saudi Arabia expects to generate SR1.15 trillion ($306 billion) in revenue in 2026, a 5.1% increase from 2025 estimates, reflecting steady progress under the Kingdom’s economic diversification agenda.

Approved by Crown Prince Mohammed bin Salman during a Cabinet meeting in Dammam, the 2026 state budget sets total expenditure at SR1.31 trillion ($348.9 billion), slightly below the SR1.34 trillion ($356.9 billion) projected for 2025, according to the Ministry of Finance’s Budget Statement.

The fiscal outlook remains focused on improving spending efficiency, developing infrastructure, and enhancing public services. These priorities remain central to Saudi Vision 2030.

“These efforts include the continued development of infrastructure, improvements to quality of life, and strengthening public services for citizens, residents, and visitors,” the ministry said in a statement.

Updated projections indicate a 2025 budget deficit of SR245 billion ($65.27 billion), equivalent to 5.3% of the country’s GDP. The deficit is expected to narrow to around SR165 billion, or 3.3% of GDP, in 2026. The ministry said the improvement reflects targeted countercyclical spending and disciplined fiscal management designed to support growth while preserving financial stability.

The budget forecasts real GDP growth of 4.6% in 2026, driven by a 4.8% expansion in non-oil activities. The figures highlight the resilience of the private sector and the impact of ongoing structural reforms.

Crown Prince Mohammed bin Salman said the 2026 budget reinforces the government’s commitment to placing citizens’ welfare at the center of its policies. He directed ministers and officials to prioritize development and social programs aligned with Vision 2030.

According to the Saudi Press Agency, the Crown Prince noted that structural reforms implemented since the launch of Vision 2030 have accelerated non-oil growth, kept inflation below global averages, and strengthened Saudi Arabia’s position as a global investment destination.

He added that the government will continue to focus on fiscal sustainability, economic resilience, and long-term planning to maintain momentum despite global challenges.

“The 2026 budget underscores the government’s commitment to strengthening the resilience and flexibility of the local economy, supporting sustainable growth, and enabling it to navigate global economic challenges,” the crown prince said.

Overall, the budget reinforces Saudi Arabia’s efforts to diversify its economic base, stimulate private investment, and continue its transformation into a competitive and innovation-driven economy, all key pillars of Vision 2030.