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Saudi Arabia Leads Gulf Resilience as Al-Jadaan Credits Energy Investments at IMF Meetings

Prime Highlights-

  • Saudi Arabia’s energy investments ease the global energy shock, Finance Minister Mohammed Al-Jadaan tells the IMFC meeting in Bangkok.
  • Structural reforms and strong financial buffers help most GCC economies, including Saudi Arabia, handle regional uncertainty with greater resilience.

Key Facts-

  • S&P Global Ratings keeps Saudi Arabia at A+ with a stable outlook, citing flexible export routes.
  • IMFC members renew support for coordinated debt restructuring and a strong, well-resourced, quota-based IMF.

Background-

Finance Minister Mohammed Al-Jadaan said Saudi Arabia’s energy investments reduced the force of the global energy shock, as he addressed reporters at the close of the International Monetary and Financial Committee meeting in Bangkok.

Al-Jadaan, who chairs the committee, noted that countries entered the recent turmoil from different starting points. Those that carried out reforms and built reserves coped best, he said, and most Gulf Cooperation Council members fall into that group.

He stated that the energy crisis would have been far tougher without investments from nations like Saudi Arabia. IMF Managing Director Kristalina Georgieva agreed that the wider world economy benefited.

The A+ rating from S&P Global Ratings stays in place with a stable outlook, backed by the East-West pipeline, which gives Saudi Arabia more than one export route, along with strong storage and refining capacity. IMF regional director Jihad Azour added that six buffers helped Gulf economies hold steady, including strong reserves, quick policy action and close regional cooperation.

On the global outlook, Al-Jadaan told members to stay alert and prepare credible medium-term fiscal plans that rebuild buffers and shield vulnerable groups. He also supported central bank independence to protect price stability. Members renewed their pledge to coordinated debt restructuring and to a well-funded, quota-based IMF.

He said artificial intelligence can raise productivity if its gains reach everyone, and argued that lasting prosperity depends on closer economic integration. The committee welcomed a one-year extension of his term as chair.