Saudi Arabia spends more than $57 billion on coronavirus stimulus

People working for affected businesses also benefited from the initiatives. (AFP)
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Updated 09 July 2020

Saudi Arabia spends more than $57 billion on coronavirus stimulus

  • SAMA announced a SR50 billion package to support the private sector on March 14

RIYADH: Saudi Arabia spent more than SR214 billion ($57 billion) on 142 initiatives to tackle the impact of the coronavirus in the Kingdom, the Saudi Press Agency reported.

Initial measures undertaken by the government to provide a buffer were followed up by a royal decree this month to extend the support to the public and private sectors and to investors.

They included the suspension of some labor-related fines, wage protection measures and the postponement of the collection of customs duties on imports.

More than 650,000 people directly benefited from the package of measures aimed at individuals, according to the Ministry of Finance’s Communications and Financial Knowledge Center.

Businesses also received help in the form of extra time to file tax and zakat returns, while families on low incomes were given support in sectors that were hard hit such as ride-hailing transport services. About SR9 billion was allocated to more than 1.2 million citizens working for businesses affected by the pandemic.

In its Policy Responses to COVID-19 Tracker, the International Monetary Fund notes that Saudi Arabia has been hit by two shocks — “the spread of COVID-19 and the sharp decline in oil prices. Government policy is responding to both these developments.”

The Kingdom also implemented a number of fiscal measures with the Saudi Arabian Monetary Authority (SAMA) reducing its policy rates twice in March. SAMA announced a SR50 billion package to support the private sector on March 14, aimed particularly at SME’s by boosting banking sector liquidity.

The regulator instructed banks to delay repayment of loans for all Saudi employees by three months without extra fees and to provide finance to customers who lost their jobs.


Virus sees Booking.com slash quarter of global staff

Updated 04 August 2020

Virus sees Booking.com slash quarter of global staff

  • The company warned that “up to 25 percent” of employees could go in what it called an “extremely difficult step”
  • Booking.com’s Amsterdam headquarters was expected to be among the sites affected

THE HAGUE: Online travel agency Booking.com said Tuesday it will cut up to a quarter of staff worldwide due to the ongoing coronavirus pandemic, leading to thousands of job losses.
The Amsterdam-based booking site, which employs around 17,500 people around the world, declined to give an exact number of posts that will be slashed, saying details would become clearer “in the coming weeks and months.”
But it warned that “up to 25 percent” of employees could go in what it called an “extremely difficult step.”
“The Covid-19 crisis has devastated the travel industry, and we continue to feel the impact as travel volumes remain significantly reduced,” the company said in a statement sent to AFP.
“While we have done much to save as many jobs as possible, we believe we must restructure our organization to match our expectation of the future of travel,” it added.
Booking.com’s Amsterdam headquarters was expected to be among the sites affected, Dutch media reports added.
Hard-hit by the slowdown in international travel resulting from the lockdown, Booking.com follows in the footsteps of other digital travel sites such as Airbnb and TripAdviser, which have also laid off around 25 percent of their workforce.
Booking.com applied in April for state support.
Last month it received some 61 million euros ($71.8 million) from the Dutch state, making it the third-largest recipient of support behind flagship airline KLM and Dutch Rail (NS), the ANP national news agency reported.
Founded in 1996, Booking.com has some 28 million listings on its website which is available in 43 languages.