Ansarollah Website - Reports
The Wall Street Journal addressed the impacts of the war on the Saudi economy in a report, considering that it threatens to push the country into a "recession" and widen its budget deficit.
The newspaper stated that the repercussions of the crisis "extend beyond Saudi Arabia's borders given its status as a major source of funding in the global technology sector," adding that Riyadh is facing "increasing military pressure," and comparing parts of the capital to a "battlefield."
Regarding Saudi Arabia's stockpiles of interceptor missiles, the newspaper pointed out that they are running low, in addition to the threat posed by the increase in "defense spending" and infrastructure costs, which are draining the funds necessary to diversify the Saudi economy.
According to the newspaper, Saudi Arabia has faced difficulty covering its territory with air defenses and was forced to relocate batteries to protect palaces and energy facilities.
According to Saudi officials, foreign investment declined during the first and second quarters of the year and remained below the target level for 2030.
Notably, a number of projects launched by Saudi Crown Prince Mohammed bin Salman have stalled, and Riyadh has abandoned plans to host the 2029 Asian Winter Games, according to the Wall Street Journal.
The newspaper stated that the war threatens Saudi efforts aimed at making travel and tourism key pillars of the economy.
According to Capital Economics, the non-oil sector contracted in the second quarter compared to the first quarter.
Regarding Iran, Bin Salman has called on his advisors to keep diplomatic channels of communication open with it, as "Riyadh is increasingly moving toward exploring the possibility of reaching a diplomatic solution to the conflict," according to the newspaper.
On the American front, despite Bin Salman's pledge to invest approximately one trillion dollars in the United States, Washington has not responded to his request for military assistance.
Regarding the aggression against Yemen, the confrontation between Saudi Arabia and the Yemeni Armed Forces imposes new challenges on the Kingdom's security and its plans to transform its oil-dependent economy.
Bin Salman is moving between "heavily guarded palaces equipped with bunkers and protected by a carefully selected security team," according to the newspaper.
