Saudi economy resilient amid conflict, says central bank governor
Saudi Central Bank governor Ayman Al-Sayari said disruptions were affecting trade, transportation, inflation and financial conditions amid elevated debt and limited room for policymakers to respond
21 October, 2026
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Saudi Arabia’s economy remains resilient despite the Middle East conflict, supported by financial buffers, a well-capitalised banking system and economic reforms, Saudi Central Bank governor Ayman Al-Sayari said, while warning that the war’s effects were spreading beyond energy markets.
In Saudi Arabia’s recent statement to the International Monetary and Financial Committee during the IMF and World Bank annual meetings in Bangkok, Al-Sayari said disruptions were affecting trade, transportation, inflation and financial conditions amid elevated debt and limited room for policymakers to respond.
Separately, Saudi Aramco president and chief executive Amin Nasser said the kingdom’s systems were coping with the crisis, although prolonged disruption was putting increasing pressure on global energy supplies.
“While the kingdom is capable and confident, and its systems are coping, no country should face this alone,” Nasser told the Energy Intelligence Forum in London on October 5.
Al-Sayari said Saudi banks remained well-capitalised and liquid, supported by forward-looking macroprudential policies. Vision 2030 reforms had strengthened economic fundamentals through the expansion of non-oil activity, greater private-sector participation and improved institutional capacity, he said.
The kingdom would continue diversifying its economy, deepening financial markets, developing human capital and raising productivity, he added.
Nasser pointed to Aramco’s overseas storage, spare production capacity, domestic gas storage, tanker fleet and local supply chain as elements of its ability to withstand disruption.
The company was studying additional crude export routes and exploring more overseas storage to help manage short-term interruptions, he said.
But Nasser warned that the near-closure of the Strait of Hormuz had caused the most serious energy supply shock of his career. Rebuilding inventories while meeting demand could take up to two years after the waterway fully reopened and confidence returned, he said.
The IMF has also highlighted the limits of the measures cushioning the region’s economies.
Jihad Azour, director of the fund’s Middle East and Central Asia department, told reporters on October 15 that alternative shipping routes, inventory drawdowns, and demand adjustments had helped contain the energy shock, Reuters reported.
Those buffers were finite, however, and renewed disruption could trigger much larger price adjustments. The outlook depended on how quickly energy production and trade normalised and whether countries could preserve macroeconomic stability, he said.
IMF managing director Kristalina Georgieva said earlier in October that investments in energy and logistics infrastructure, alongside government measures to ease shipping bottlenecks and support businesses and banks, had helped limit the wider economic fallout.
Nevertheless, the fund expected the GCC economy to contract in 2026, with a 2027 recovery conditional on shipping gradually returning to normal.
Saudi Finance Minister Mohammed Aljadaan also stressed the need to manage available buffers efficiently during prolonged shocks while retaining the capacity to respond to future challenges, according to a finance ministry account of the Bangkok meetings.
He identified diversification, energy and food security, and resilient supply chains as priorities for strengthening economies against further disruption.



















