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Saudi Arabia’s damage from US operation against Iran exceeds $10 bln — WSJ

The country’s authorities and major state-owned companies are revising the schedule for major infrastructure projects, including the construction of new skyscrapers, in an effort to reduce their current spending

NEW YORK, April 6. /TASS/. The financial losses to the Saudi Arabian economy associated with lost revenue and additional costs due to the US military operation against Iran have exceeded $10 bln, The Wall Street Journal (WSJ) reported, citing sources.

The loss is due to restrictions on shipping in the Strait of Hormuz that negatively affect the kingdom’s oil export volumes, partial military damage from Iran’s retaliatory strikes, and the cancellation of major international events such as the Formula 1 race, the newspaper wrote.

Against this background, the country’s authorities and major state-owned companies are revising the schedule for major infrastructure projects, including the construction of new skyscrapers, in an effort to reduce their current spending. Moreover, Saudi Arabia is considering an accelerated increase in its defense budget, which would also require a reallocation of funds, the paper added.

The US and Israel launched a military operation against Iran on February 28. Major Iranian cities, including Tehran, were hit. The White House justified the attack by citing alleged missile and nuclear threats from Iran. The Islamic Revolutionary Guard Corps (IRGC) of Iran launched retaliatory operations against Israel and US targets in Bahrain, Jordan, Qatar, Kuwait, the UAE, and Saudi Arabia.