RIYADH – In a move to bolster social welfare, Saudi Arabia’s King Salman has ordered a one-year extension of the Citizen Account Program and continued additional financial support for its beneficiaries. The royal decree, announced Tuesday by the Saudi Press Agency, ensures the program will remain active through the end of 2026. This decision follows a recommendation from Crown Prince Mohammed bin Salman, reflecting the ongoing commitment to mitigating the impact of economic changes on Saudi families.
The extension applies to all currently eligible recipients of the program, and registration will continue to be open for new applicants. The King’s order stems from a desire to safeguard citizens’ financial well-being during a period of significant economic diversification and reform within the Kingdom. This latest directive builds upon a prior decision made in July 2022, demonstrating sustained royal support for the initiative.
Understanding the Citizen Account Program Impact
The Citizen Account Program, formally known as the Account Program, was initially launched in 2017 as part of the Kingdom’s Vision 2030. Vision 2030 is a strategic framework aimed at reducing Saudi Arabia’s dependence on oil, diversifying its economy, and developing public service sectors such as health, education, infrastructure, recreation and tourism.
The program’s primary function is to provide direct financial assistance to Saudi citizens to offset potential increases in living costs resulting from government-implemented economic policies. These policies often include adjustments to fuel prices and the introduction of value-added tax (VAT), changes designed to modernize the national economy. The financial support is intended to cushion the blow on low and middle-income households.
Who is Eligible for Support?
Eligibility for the Citizen Account Program is determined by a variety of factors, including household income, the number of family members, and age. Details are publicly available on the program’s official website. According to reports from the Ministry of Human Resources and Social Development, a significant percentage of Saudi families benefit from the program, receiving monthly payments to help cover essential expenses.
The criteria for receiving financial assistance are regularly reviewed and adjusted to ensure that aid reaches those who need it most. The Ministry also emphasizes fraud prevention measures, conducting periodic audits to maintain the integrity of the program and ensure responsible use of public funds.
Additionally, the program took steps to address inflation, a major concern in recent years. This is especially relevant as global energy prices and supply chain disruptions impacted the cost of goods and services across the region, and Saudi Arabia was no exception.
The Broader Economic Context
Saudi Arabia continues to navigate a period of transformative economic reform. These changes include privatization initiatives, investment in non-oil sectors like tourism and technology, and efforts to attract foreign direct investment. While these reforms promise long-term economic benefits, they can also create short-term challenges for citizens.
The need for such programs as the Citizen Account Program heightens during these transitions. They acknowledge the potential hardship faced by vulnerable populations and provide a safety net to ease the adjustment process. The goal is to enable Saudi citizens to participate in and benefit from the long-term vision of a diversified and sustainable economy.
The current geopolitical climate and fluctuations in the global oil market further underscore the importance of financial security for Saudi families. Although Saudi Arabia possesses significant oil reserves, the country’s leadership recognizes the necessity of reducing its reliance on this single commodity. Schemes such as the Citizen Account Program play a role in building a more resilient economy.
Looking Ahead: Program Future and Ongoing Support
With the extension confirmed through the end of 2026, the immediate focus will be on continuing disbursal of funds and maintaining open registration for new beneficiaries. The total amount of financial support provided under the extension is expected to be substantial, although the precise figures have not yet been released by the government. The Ministry of Finance will likely provide a detailed budget outline in the coming months.
However, the long-term future of the Citizen Account Program remains subject to ongoing evaluation. The success of Vision 2030 and the stabilization of the Saudi economy could potentially lead to revisions or even a phase-out of the program. Future decisions will likely be based on economic indicators, the level of inflation, and the overall financial health of the Kingdom. Monitoring the progress of diversification efforts and the impact of economic reforms on household incomes will be crucial in assessing the continuing need for this form of social support.
The ongoing efforts to increase employment opportunities for Saudi citizens, particularly among women, are also relevant to the program’s future. Increased income levels through employment could reduce the dependence on direct financial assistance, potentially allowing for a more targeted and sustainable social welfare system. The next major evaluation of the program is anticipated in the second half of 2026, which will inform any decisions regarding its continuation beyond that date. The stability of the global economy and oil prices will also be a watching point.
The Citizen Account Program represents a key aspect of Saudi Arabia’s social safety net and will continue to provide vital relief to families as the country progresses with its ambitious economic plans.
