By John R. Presley (auth.)
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Extra resources for A Guide to the Saudi Arabian Economy
In October 1979 the Berri NGL Centre was inaugurated. It will be fully integrated with the government's gas programme and is the forerunner in basic design and principle for the entire gas programme. The current work on the gas-gathering programme concentrates upon the construction of two additional centres. The Shedgum Centre will treat gases from the northern areas of the Ghawar field; the Uthmaniyah Centre will treat gases from the southern areas of that field. On its completion the programme should yield 34 billion cubic metres of wet gas each year, or three times the level of'utilised' gas in 1978.
It is incorrect to imply from this that the government subjects the economy to wild swings in the types of expenditure it undertakes. 4 (p. 21) shows, all of the main categories of government expenditure have maintained an upward trend in absolute terms from 1392/3 onwards. 6 per cent of total government spending. The latest budget estimates for 1402/3 represent high growth rates for government spending on both health and social development and human resource development, with increases of 24 per cent and 21 per cent respectively; surprisingly perhaps, in the light of the above, the allocation for economic resource development fell in 1402/3; as expected the infrastructure development budget was reduced by 17 per cent below its 1401/2 level, to SR 11.
X----K )( .......... · - - · -. -· GRAPH ... "'' ~ 0 ~ v• N -.. ,. Government expenditures and revenues* 1392/3 to 1402/3 The Macro Economy 25 (a) a tendency for government expenditure to continuously increase in past years, except in years when inflationary pressures have appeared. Planned government expenditures rose by 22 per cent in 1401/2 and by 5 per cent in 1402/3. (b) the stage of economic development of the country has still not been reached where the government can afford to substantially relax the participation of the public sector.