Standard & Poor’s boosts confidence in Saudi Arabia’s fiscal trajectory as Vision 2030 reforms drive sustainable growth and diversification
In a strong vote of confidence for Saudi Arabia’s economic trajectory, global credit rating agency Standard & Poor’s (S&P) has upgraded the Kingdom’s sovereign credit rating from “A” to “A+” for both local and foreign currencies, maintaining a stable outlook.
The rating upgrade, announced on Saturday and reported by the Saudi Press Agency (SPA), reflects S&P’s positive assessment of the Kingdom’s macroeconomic stability, bolstered by robust structural reforms and fiscal prudence.
Reforms Driving Resilience
S&P highlighted that Saudi Arabia’s sweeping economic and social reforms—anchored in Vision 2030—continue to play a pivotal role in enhancing the country’s credit profile. These reforms include diversifying income sources, improving the business environment, empowering the private sector, and strengthening governance and transparency.
The agency emphasized that these sustained efforts are not only reshaping the Kingdom’s economic foundations but also contributing to long-term financial stability.
Strong Growth Outlook
The report forecasts that Saudi Arabia’s real GDP growth will average around 4% between 2025 and 2028. This optimistic projection is driven by expanding non-oil sectors, increased public and private investments, and ongoing reform momentum.
Such growth potential is expected to support the country’s development goals while creating new employment opportunities for citizens.
Reinforcing Investor Confidence
The latest upgrade adds to a series of rating improvements Saudi Arabia has received from international agencies in recent years, reinforcing global investor confidence in the Kingdom’s economic transformation.
S&P noted that Saudi Arabia’s commitment to sound fiscal policies and prudent financial planning has strengthened the country’s budgetary position and market credibility. The Kingdom’s continued development of its domestic capital markets also enhances its appeal as a destination for foreign investment.
