Upon becoming King, King Salman awarded all public sector employees an award of two months' extra salary
Beginning of a move to lift subsidies from oil, gas, electricity and water. Oil prices increased by up to 66%. Subsidies will be lowered gradually and completely cutoff by 2020.
Expected deficit of $87 billion
Jarir, a prominent Saudi retailer, reports an expected sales fall by 30% year on year
Specifically in the construction sector, there have been complaints of late/non-payment
Abdullah Al-Hussain, minister of water and electricity relieved from his duties following public outcry about high prices
Progressive increase on prices of water. The top segments paying about 60 times what the bottom segments pay.
Put an end to financial scholarships that were granted to students to enter private universities because of the inability of public universities to accommodate them
Structural adjustments for efficiency
A historic move to tax underdeveloped land (2.5%) to solve housing problems
Government plans to release 5% of Aramco to the public
One of the biggest Saudi construction giants has massive financial difficulties, namely: unpaid salaries, debts
64% of unemployed Saudis are women. 83% of employed are men
Many allowances are completely removed, others are amended and reduced.
15% reduction in allowances for furniture and car fees
Cut Minister salaries by 20%, Consultative council by 15%, also cut many of their allowances
Military personnel involved in the Yemen War and in other military, intelligence, and security missions abroad are excluded
One year stopping of car insurance payments
Insurance payments previously made for landlines and cellphones are lifted
No public sector bonuses will be given
A massive cash injection by the Saudi Arabia Monetary Agency to address banking liquidity difficulties
First cut in production since 2008, from 33.5m barrels/day to between 32.5m b/d and 33m b/d
This shift from the Hejri calendar to the Gregorian calendar will cost each employee about half a month of pay every year because the Gregorian calendar year is about 11 days longer than the Hejri.
Raise the requirements for government sponsored study abroad. Ex: only to top 50 schools, in specific majors, exceptionally high high school achievement required
Gov ensures that delayed payments to private sector, namely construction firms, medical organizations, foreign consultancies will be made soon.
Saudi Binladen Group, a construction giant dismisses many workers following a stop in government construction projects and delayed payments
Expected 7.7% of GDP, $53 billion
A direct fund transfer system, to start in June 2017, to act as the primary means of providing government support to citizens
The 80% subsidy on long shelf life imported dairy products that the government paid in the past was lifted.
VAT on soda (50%) and tobacco (100%)
This policy, set for implementation in the coming month, will raise electricity bills by 163% on average. Some users will see an increase of up to 280% of their past bills.
A VAT of 5% will be levied on all products and services, with some basic goods excluded
