Riyadh-Sana
The Saudi Stock Exchange recorded a sharp decline today in light of the austerity measures announced by the authorities of the Saudi regime.
Reuters reported that the Saudi stock index fell 7.5 percent, recording the biggest loss during the day since the ninth of March, due to the decline of Al-Rajhi Bank by 8 percent and the oil giant Aramco by 5.2 percent.
Last Friday, Moody's lowered the outlook for Saudi Arabia from "stable to negative" due to the collapse of oil prices, which increases the Kingdom's financial risks, as well as doubts about the government's ability to compensate for oil revenue losses and achieve debt stability in the medium term.
For his part, said John Sfakianakis, a researcher at the University of Cambridge, "The Saudi market fell in light of the inevitable austerity measures and the decline of the economy and financial measures ... This is the time to focus on saving the local economy and this requires huge financial support and a limit of excess at home and acquisitions abroad."
