The Kingdom of Saudi Arabia recorded the lowest oil exports in 18 years, causing losses of billions, which constitutes an unprecedented blow to the Kingdom’s economy, which has been in turmoil in recent years.
Official data showed that the value of Saudi oil exports decreased in June by 55% on an annual basis, and recorded a decline of 32.6 billion riyals ($8.7 billion).
The value of Saudi oil exports fell last May by about $12 billion on an annual basis.
The General Authority for Statistics said that compared to last May, the total value of exports – including non-oil goods such as chemicals and plastics – increased by 19.1% to reach 43.5 billion riyals ($11.6 billion) last June.
However, according to the authority, the value of Saudi merchandise exports decreased last June by 43.6% compared to the same month of 2019.
Also on an annual basis, the value of Saudi non-oil exports decreased by 6.1% last June, dropping to about 16.6 billion riyals ($4.4 billion).
Saudi Arabia, the world’s largest oil exporter, is facing a severe recession this year in light of the coronavirus crisis and declining oil revenues.
On the other hand, the value of Saudi imports increased by 3% to reach about 44.5 billion riyals in June, compared to 43.2 billion riyals in June 2019.
The surplus in Saudi Arabia’s foreign trade balance (the difference between the value of exports and imports) decreased by 66.8% on an annual basis during the first half of 2020.
According to data issued by the General Authority for Statistics in Saudi Arabia, the trade balance surplus amounted to 19.66 billion dollars. The surplus in the trade balance of Saudi Arabia during the same period of 2019 amounted to 59.26 billion dollars.
And last Thursday, the numbers of the Joint Organisations Data Initiative (JODI) showed that Saudi Arabia’s exports of crude oil fell during last June to the lowest level in 18 years.
According to JODI’s data, the Kingdom’s exports declined by 17.3% on a monthly basis in June to 4.98 million barrels per day, compared to 6.02 million barrels per day in the previous May.
Saudi Arabia reduced its production in compliance with the agreement of the “OPEC Plus” coalition, as a result of the repercussions of the Coronavirus pandemic on global demand for crude.
Saudi Arabia’s production decreased last June by 11.8% on a monthly basis to 7.484 million barrels per day, compared to 8.486 million barrels per day in the previous May.