RIYADH – Saudi gross domestic product (GDP) is projected to grow at 5.8 percent in 2012, but would fall to nearly 3.8 percent in 2013, Jadwa Investment said in a report. A breakdown showed growth in the oil sector is projected to pick up to 6.1 percent in 2012 due to a surge in output to 9.9 million bpd from 9.3 million bpd, while that in the private and government sectors could slip to 6.1 and five percent respectively. Besides, the report said in 2013, the oil sector could slip by one percent because of an expected drop in output to 9.8 million bpd while growth in the non-hydrocarbon and the government sectors could edge down to six and 4.9 percent. Jadwa forecast government actual expenditure would increase to SR841 billion in 2012 against a budgeted SR690 billion. Even then, the budget is expected to record its second highest surplus of SR348 billion because of a projected surge in actual revenue to an all time high of SR1.19 trillion against a budgeted SR702 billion. Saudi Arabia has revised up its 2011 GDP growth to 7.1 percent, the second largest increase since the record 7.7 percent growth in 2003. The Kingdom had earlier put real GDP growth at 6.8 percent in 2011 but revised it up because of higher-than-expected growth in the oil and the private sector, the report added. It further that showed the hydrocarbon sector grew by 4.6 pe cent in 2011 against previous estimates of 4.3 percent. – SG
