According to this report, lack of foresight of the consequences of falling oil prices of $104 a barrel to $50 a barrel has practically made the country’s foreign exchange budget to half.
Now Saudis to fund regional crises particularly the war in Yemen more than a year had to regularly withdraw of foreign exchange reserves and their deposit accounts in the US and Britain which gradually will show uncontrollable effects within Saudi Arabia’s economy and society.
Economic officials in Saudi Arabia each month withdraw $ 7 billion to finance budget deficit as well. Saudi Arabia central bank says the country’s foreign exchange reserves have fallen from 746 billion dollars to 672 billion dollars in the last 9 months that will sound alarm bells in Saudi Arabia.
In this regard, Saudi stock market has suffered loss of 4/14 billion dollars during the last 8 months.
This situation was unprecedented in Saudi stock market. Saudi citizens are extremely concerned about the country’s economic situation and their market filled with fear.
Investors intend to withdraw their deposits from all domestic banks and transfer them to foreign banks in different countries. Economic officials in Saudi Arabia try to control the crisis by injecting money into the economy.
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