Oddbean

Aramco to pay US$31 bil dividend as Saudi posts budget deficit ========== Aramco will pay US$31 billion in dividends to the Saudi government and other investors despite lower profit. The payout, including a special component, is for the first quarter and will help fund the kingdom's spending plans as it looks to diversify the economy away from oil. Saudi Arabia needs oil at around US$108 a barrel to balance the budget, but benchmark crude prices are currently trading below US$84 a barrel. Aramco's massive dividend payouts come as the country's economy has contracted for three consecutive quarters and the budget has been in deficit for six consecutive quarters. Saudi Arabia has revived a plan for a follow-on offering of Aramco's shares, but global investors will keep an eye on the Saudi economy and oil output levels. The Organization of Petroleum Exporting Countries and its allies are expected to extend supply curbs into the second half of the year. #Aramco #Dividend #SaudiArabia #BudgetDeficit #OilPrices #Economy https://theedgemalaysia.com/node/710590