Windfall: Gulf states projecting a 31.2 percent budget surplus in 2008
Thursday, June 19, 2008 Free Headline Alerts
ABU DHABI — Saudi Arabia and the other gulf states plan to spend $250 billion to expand crude oil production and refinery capacity, according to a new report.
The report said Gulf Cooperation Council states were expected to achieve a 31.2 percent budget surplus and an economic growth rate of 7.5 percent in 2008, according to the report. In 2007, the average surplus was 28 percent.
Riyad also aims to expand its refining capacity by 43 percent to six million barrels per day, according to the report released by the Federation of GCC states Chambers of Commerce and Industry.
The Saudi kingdom plans to invest $80 billion to increase its oil production capacity to 12.5 million barrels per day, the report said.
Other GCC states will invest about $170 billion in their energy sectors over the next few years.
"We also expect tremendous growth in the industrial and service sectors," the report said.