Fitch Ratings has reaffirmed Saudi Arabia’s Long-Term Foreign-Currency Issuer Default Rating at ‘A+’ with a stable outlook. The agency cited the country’s strong fiscal and external balance sheets as key reasons for the rating, noting that government debt relative to GDP and sovereign net foreign assets are stronger than those of both ‘A’ and ‘AA’ rated countries. Significant fiscal buffers, including deposits and other public sector assets, were also mentioned as contributing factors.
According to Fitch, Saudi Arabia’s GDP growth is expected to reach 4.8% in 2026. The fiscal deficit is projected to narrow to 3.6% of GDP by 2027. Non-oil revenues are anticipated to benefit from continued economic activity and improved collection methods.
The ratings agency pointed out that reform efforts remain robust in the country. Recent measures include the introduction of a new investment law and increased access for foreign investors in real estate and stock markets.
“Fitch projects that GDP growth will reach 4.8% in 2026, while the fiscal deficit is expected to narrow to 3.6% of GDP by 2027. Furthermore, non-oil revenues will continue to benefit from buoyant economic activity and improved collection techniques.”
“Fitch also highlighted that reform momentum remains strong, with recent steps including a new investment law and the further opening of real estate and stock markets to foreign investors.”
