NOURNEWS- Saudi Arabia, which is under pressure from the Corona virus pandemic and falling oil prices, has said it will triple the VAT rate and cut subsidies to citizens.
The Corona virus pandemic and the sharp fall in oil prices have severely reduced the Saudi government's revenue.
Saudi Arabia introduced VAT two years ago as part of its efforts to reduce its dependence on oil.
Saudi Finance Minister Mohammed al-Jadhan said in a televised statement that VAT would increase from 5 per cent to 15 per cent from July 1 and that subsidies would be cut from June 1.
In 2018, Saudi Arabia introduced a monthly subsidy price of 1,000 rials (equivalent to $ 267) to help citizens face a VAT increase.
MEHRNEWS agency
NOURNEWS