Saudi Arabia has announced the biggest budget in its history, announcing expenditures of 978 billion riyals ($261 billion) this coming fiscal year as the government forecasts a boost in revenue from the introduction of a sales tax and plans to lift subsidies further. The Arab world's largest economy and one of the world's top oil producers was hit by a drop in oil prices more than three years ago, but austerity measures helped ease the blow. The government announced Tuesday the budget deficit this past year was 230 billion riyals ($61 billion) — a steady decline from 297 billion riyals ($79 billion) in 2016 and 367 billion riyals ($98 billion) 2015. The government projects a budget deficit in the coming year of even less at 195 billion riyals ($52 billion).
