Saudi Arabia has delayed some of the projects launched as part of its economic transformation plan past 2030, Bloomberg reported, citing a top government official.

This is the first time that the Kingdom has acknowledged a shift in the timeline for meeting the goals of Vision 2030, the report said. 

The government, which is forecasting budget deficits every year through 2026, has decided on the extension to build capacity and avert huge inflationary pressures and supply bottlenecks, the news agency reported, citing Finance Minister Mohammed Al Jadaan.

The names of the specific projects were not disclosed, the report added.

A longer period is needed to “build factories, build even sufficient human resources,” the news agency quoted Al Jadaan as saying. 

“Certain projects can be expanded for three years - so it’s 2033 - some will be expanded to 2035, some will be expanded even beyond that and some will be rationalised,” Bloomberg said, citing Al Jadaan.

The delay or rather the extension of some projects will serve the economy, the news agency said, quoting the minister.

Saudi Arabia on Wednesday approved its state budget for 2024, which forecasts a fiscal deficit next year of 79 billion riyals ($21.07 billion), state news agency SPA reported.

The kingdom estimated total revenues at SAR 1.172 trillion in 2024, while total expenditure was projected at SAR 1.251 trillion next year.

(Editing by Seban Scaria )