Saudi stocks tumble 3% after salary cuts

Dubai: Saudi Arabia’s Tadawul index reversed previous day’s gains, and tumbled more than 3 per cent after the government announced pay cuts for government employees.

The selling was broad-based, with all 169 stocks trading in negative, after the government canceled bonus payments for state employees and cut ministers’ salaries by 20 per cent,

Saudi Arabia cuts public sector bonuses

The Tadawul index fell as much as 5,772.14, before trading 2.4 per cent lower at 5,810.22. Alinma Bank fell more than 3 per cent, while Saudi Kayan Petrochemical Co. also fell more than 4 per cent.