Saudi Minister of Finance and Acting Minister of Economy and Planning, Mohammad Al-Jadaan, highlighted the importance of the measures taken to protect the Kingdom's economy and overcome the unprecedented financial and economic ramifications of the global coronavirus pandemic in the best way possible.
In June, state workers will stop receiving their cost-of-living allowances.
Accordingly, the Value-Added Tax has been increased from 5 to 15 per cent with effect from 1st July and the cost of living allowance has been suspended with effect from 1st June.
Futures for United States oil rose over one percent, with West Texas Intermediate (WTI) for June delivery trading above $25 a barrel after losing three and a half percent in earlier action.
Mohammed al-Jadaan, Finance Minister, explained that government's decision was to support stability of non-oil revenues.
Saudi Arabia has told its national oil company Aramco to slash its crude oil production for June by an extra one million barrels per day (bpd), a Saudi energy ministry official said on Monday.
Watchdogs warn COVID-19 apps come with privacy risks to Canadians
Most released or proposed apps use Bluetooth "handshakes" with very nearby devices to compile an encrypted list of devices. It will also have personalized information such as how to get tested that will be customized as per the user's country.
Saudi Arabia's budget deficit hit 34.1 billion riyals ($9.1 billion) in the first quarter of 2020, with the general debt going up by 6.7% to 733.5 billion riyals ($192.9 billion).
That's as oil revenues in the period fell by nearly a quarter from a year earlier to $34bn, pulling down total revenues by 22%.
Last Friday, the two men discussed oil and defence amid news Washington would withdraw two Patriot anti-missile batteries from Saudi Arabia that have been a defence against Iran.
Saudi Arabia has had some 41,000 confirmed cases of the coronavirus, including 255 deaths.
A new ministerial committee has been established to review spending on benefits for all state employees and contractors, while Riyadh is also cancelling some state spending including on the country's much-publicised Vision 2030 modernisation project. He added that the government is committed to taking necessary and timely measures to protect citizens and residents, as well as the economy to mitigate the effects of the crisis and its ramifications. The tax on most goods and services was first introduced in Saudi Arabia in 2018 as a way to increase revenue.