Sizable fiscal buffer and ability to flexibly adjust spending. Prudent economic and fiscal management. Strong external liquidity, with foreign exchange reserves and liquid external assets currently sufficient to cover around 29 months of current account payments. A narrow economic base and high dependence of government revenues and foreign exchange receipts on volatile oil revenues. Underdeveloped political institutions, weak transparency and accountability, and opacity over succession. Limited monetary policy flexibility. The sovereign credit ratings on the Kingdom of Saudi Arabia primarily reflect the government's strong external and fiscal positions, which have been built over a number of years. Net foreign assets held by the Saudi Arabian Monetary Agency amounted to $521 billion at end-October 2011, up from $441 at end-2010. The
