IMF praises Saudi economy’s resilience and ability to adapt swiftly to crises

RIYADH — The International Monetary Fund (IMF) experts highlighted that the Saudi economy has demonstrated remarkable resilience amid the repercussions of the ongoing conflict in the Middle East, supported by its strong structural fundamentals and diversified oil and logistics infrastructure. At the conclusion of its Article IV consultation mission, the IMF noted that the Saudi authorities’ proactive measures effectively alleviated maritime traffic congestion in the Strait of Hormuz by swiftly rerouting shipments through the East-West pipeline and Red Sea ports, in addition to utilizing Saudi Aramco’s foreign reserves. In April, the IMF projected Saudi Arabia’s economic growth at 3.1 percent for 2026, reflecting a 1.4 percentage point reduction compared to its January forecast. The Fund emphasized that the Kingdom remains among the countries least affected by the Iranian conflict, thanks to the availability of alternative export routes. Furthermore, the IMF raised its GDP growth forecast for 2027 by 0.9 percentage points to 4.5 percent, assuming that energy production and transportation activities return to normal levels in the coming months.