Sparked by plunging oil prices,the 2016 budget marks biggest shakeup in years and includes politically sensitive reformsSaudi Arabia has announced plans to slash government spending and reform its finances after plunging oil prices resulted in a record annual budget deficit of nearly $98bn (£66bn).
The state ran a deficit of 367bn riyals ($97.9bn) in 2015, or 15% of gross domestic product, and officials said. The 2016 budget method aims to slash that to 326bn riyals,reducing pressure on Riyadh to pay its bills by liquidating assets held abroad.
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Source: theguardian.com