Saudi Budget 2017 Key Decisions and Highlights

UPDATED : 23/12/2016  09:30 PM

  • NO INCOME TAX OR TAX ON REMITTANCES  
  • PETROL, WATER AND ELECTRICITY TO BE REPRICED
  • 300-700 RIYAL MONTHLY CHARGE WILL IMPOSE FOR EACH EXPAT WORKERS      
  • 5% VALUE ADDED TAX FROM 2018  
  • MINIMUM 100 RIYALS MONTHLY CHARGE FOR EACH EXPATRIATES FAMILY MEMBERS AND 100 SAR YEARLY INCREMENT UNTIL 2020  
  • INCREASED VISIT VISA FEE WILL CONTINUE
  • SOON WILL LIFT SUBSIDIES FOR SUGAR, DRINKS ..ETC
  • PROJECTED A 33% REDUCTION IN THE BUDGET DEFICIT IN 2017 

 

National Debt is Increased to 316.5 Billion Riyals from 44  Billion Riyals in 2014

Non Oil revenue reached 199 Billion Riyals in 2016, Expecting 212 Billion in 2017
Average Oil Price and Global Demand will Increase in 2017

HIGHLIGHTS

  • Increasing fees on expatriates starting from 2018
  • No support to Saudis in the fifth category of income and to those with monthly income exceeding SAR 21,000
  • Saudis whose income levels fall in the first and second categories will receive SAR 1200 monthly for a family of 6 persons
  • Saudis whose income level falls in the third category will receive SAR 1,000 a month for a family of 6 persons
  • Saudis whose income level falls in the fourth category will receive 600 SAR a month for a family of 6 persons
  • Saudi Energy Minister: Oil industry needs capital investment in the next phase
  • Saudi Energy Minister: We expect oil prices to rise
  • Saudi Energy Minister: Future oil prices will enable us to achieve a strong surplus in 2020
  • Saudi Minister of Finance: GDP debt will not exceed 30% of economy until 2020

Here is what the new expat levy will cost:


In 2017

• Dependents of expats will each incur a monthly fee of SR100, from July onwards

In 2018

• Dependents of expats will each incur a monthly fee of SR200, from July onwards

• In companies where the number of foreign employees is equal to or lower than the number of Saudis, a monthly fee of SR300 will apply from January onwards

• In companies where the number of foreign employees exceeds the number of Saudis, a monthly fee of SR400 will apply from January onwards

In 2019

• Dependents of expats will each incur a monthly fee of SR300, from July onwards

• In companies where the number of foreign employees is equal to or lower than the number of Saudis, a monthly fee of SR500 will apply from January onwards

• In companies where the number of foreign employees exceeds the number of Saudis, a monthly fee of SR600 will apply from January onwards

In 2020

• Dependents of expats will each incur a monthly fee of SR400, from July onwards

• In companies where the number of foreign employees is equal to or lower than the number of Saudis, a monthly fee of SR700 will apply from January onwards

• In companies where the number of foreign employees exceeds the number of Saudis, a monthly fee of SR800 will apply from January onwards

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