BEIRUT — King Salman of Saudi Arabia rescinded salary cuts for ministers and restored financial perks for public sector workers in a series of royal decrees.
He also promoted two of his own sons to important positions, naming Prince Khaled bin Salman ambassador to Washington and Prince Abdulaziz bin Salman state minister for energy affairs.
The decrees, announced Saturday, are a new step in the Saudi leadership’s efforts to adjust the kingdom’s finances, which have been undermined by low oil prices.
In seeking to stabilize the country’s budget, the rulers have had to balance the need to reduce spending with the desire to maintain the support of a population used to generous subsidies and benefits.
The announcements rescinded a 20 percent cut to the salaries of the kingdom’s approximately two dozen ministers and restored bonus payments to hundreds of thousands of civil servants that had been canceled in September.
The bonus cuts had caused widespread grumbling in Saudi Arabia, where about two-thirds of employees work for the state. For many, the bonuses had accounted for a substantial amount of their take-home pay, with payouts equal to 20 percent or more of monthly salaries not uncommon.
Officials said that the decision reflected the government’s improved fiscal position. Some analysts said the moves also sought to assuage public discontent over recent austerity measures, which have included increases in energy, water, and fuel costs.
The decrees also elevated two of King Salman’s sons, empowering his branch of the vast royal family that has ruled the country since the 1930s.
Since ascending to the throne in 2015, King Salman has delegated tremendous power to son Prince Mohammed bin Salman, 31, who is defense minister and second in line to the throne.
New York Times