Fitch Affirms Saudi Arabia’s A+ Credit Rating with Stable Outlook, Citing Robust Fiscal Fundamentals and Reform Progress

Riyadh, The Gulf Observer: Fitch Ratings has affirmed the Kingdom of Saudi Arabia’s long-term foreign currency issuer default rating at ‘A+’ with a stable outlook, reflecting the country’s strong fiscal foundations, prudent financial management, and continued reform momentum.

In its latest report, the global credit rating agency highlighted that Saudi Arabia’s key financial indicators—notably its sovereign net foreign asset position and low debt-to-GDP ratio—are well above the averages for nations rated in the “A” and even “AA” categories.

Fitch underlined that substantial financial reserves, including public sector deposits and other assets, provide the Kingdom with a vital cushion that supports macroeconomic stability and resilience in the face of global uncertainties.

Looking ahead, the agency forecast that Saudi Arabia’s sovereign net foreign assets will remain a cornerstone of its credit strength, projecting it to reach 35.3% of GDP by 2027, far exceeding the average of 3.1% for ‘A’-rated peers.

The agency also acknowledged the Kingdom’s continued fiscal reform agenda, which aims to diversify the economy and reduce reliance on oil revenues. These efforts have led to a notable rise in non-oil revenues, enhancing budget flexibility and long-term fiscal sustainability.

Fitch concluded that these positive trends reinforce Saudi Arabia’s solid credit profile and support the stable outlook assigned to the Kingdom’s long-term rating.