Photo: BloombergDubai: Saudi Arabia and the United Arab Emirates introduced value-added tax from Monday, a first for the Gulf which has long prided itself on its tax-free, cradle-to-grave welfare system. Saudi Arabia compounded the New Year blow for motorists with an unannounced hike of up to 127% in petrol prices with immediate effect from midnight. Saudi Arabia has deposited billions of dollars in special accounts to help needy citizens face the resulting rise in retail prices. But it still leaves petrol prices as some of the lowest in the world. Saudi Arabia has introduced a raft of measures to raise revenue and cut spending as it bids to balance its books.

Source: Mint January 01, 2018 10:18 UTC