Saudi Arabia's trade deficit with GCC countries widens in 2005

Riyadh: Saudi Arabia's non-oil trade with the other Gulf Cooperation Council (GCC) countries recorded a deficit of 5.8 billion Saudi riyals in 2005, compared to 1.4 billion riyals in 2004, according to a report released by the Saudi Arabian Monetary Agency (SAMA), the kingdom's central bank.

The report underlined that Saudi Arabia's imports from the GCC states increased by 43 per cent to 5.6 billion riyals in 2005 compared to 17.9 billion riyals in 2004.

The report indicated that Saudi Arabia's imports from the GCC states represent 11.5 per cent of total imports, while exports to the GCC states increased by 19.7 per cent compared to the previous year to 19.8 billion riyals, 27.8 per cent of total Saudi non-oil exports. The report said that Bahrain had the biggest surplus in its trade with Saudi Arabia, hitting 7.3 billion in 2005, followed by the UAE with a surplus of 3.8 billion riyals.

However, Kuwait's trade with Saudi Arabia suffered a deficit of 3.4 billion riyals, Qatar a 1.9 billion riyal deficit and Oman a deficit of 35 million riyals in its trade exchange. As for Saudi Arabia's non-oil imports from the GCC states, the report said that the UAE comes on top of the list as the biggest supplier to Saudi Arabia as its exports reached 12.5 billion riyals as Saudi imports from the UAE represented 48.6 per cent of Saudi non-oil imports from the GCC states.

Bahrain was second with exports of 10.1 billion riyals, followed by Oman, Kuwait and Qatar with 1.3 billion riyals, 1 billion and 760 million riyals respectively.

As for Saudi Arabia's non-oil exports to the GCC states, the report said the UAE remains on top of the list as the Saudi exports to the country reached 8.7 billion riyals representing 43.9 per cent of the total Saudi non-oil exports to the GCC states.