Capital spending to reach 75.8 billion riyals vs 263.7 billion Saudi budget deficit to drop to 13.5% of GDP vs 15% in 2015 Saudi Arabia’s austerity measures will slash capital spending this year by 71 percent, as the world’s biggest exporter of crude seeks to repair public finances damaged by low oil prices. Capital expenditure is projected to reach 75.8 billion riyals ($20.6 billion) this year compared with 263.7 billion in 2015, according to the government’s bond prospectus obtained by Bloomberg. In 2014, capital spending amounted to 370 billion riyals. The kingdom, with the largest budget shortfall among the world’s 20 biggest economies, has delayed payments to contractors and is weighing plans to cancel more than $20 billion of projects, according to people familiar with the plans. The government estimates that the budget deficit would decline to 13.5 percent of gross domestic product this year from 15 percent in […]