The ratings on the Kingdom of Saudi Arabia are supported by: The consolidated general government's favorable balance and net asset position. The general government's balance shows surpluses estimated at 6.7% and 3.8% of GDP in 2003 and 2004, respectively, swinging into deficits of about 2% during 2005-2007, largely owing to a projected softening of oil prices. Its net asset position is expected to remain broadly stable at about 50% of GDP over the medium term. Underlying this, the general government's gross debt is expected to remain at about 22% of GDP, with future borrowing needs being met largely by the autonomous government institutions, such as the pension funds. Strong external liquidity. The foreign reserves of the Saudi Arabian Monetary Agency
