The $2 Trillion Project To Get Saudi Arabia’s Economy Off Of Oil

The $2 Trillion Project To Get Saudi Arabia’s Economy Off Of Oil

For 80 years oil has underwritten the social compact on which Saudi Arabia operates: “absolute rule for the Al Saudi family, in exchange for generous spending on its 21 million subjects.” However, now Prince Mohammed is dictating a new bargain.

He has reduced massive subsidies for gasoline, electricity, and water. He may also impose a value-added tax and levies on luxury goods and sugary drinks. “These and other measures are intended to generate $100 billion a year in additional non-oil revenue by 2020.”

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