– This is the script of CNBC's news report for China's CCTV on October 12, Monday.
Welcome to CNBC Busines Daily, I'm Qian Chen.
For the first time In 8 years, Saudi Arabia's government would have to search for savings, contemplate project delays and sell bonds, due to plunging oil prices.
Saudi has been using reserves to cope, but investors are wondering how much longer can they last.
The Saudi budget has been heavily hit by a roughly 50-percent drop in oil prices and is expected to face a deficit that amounts more than 20 percent of the country's GDP this year, according to the International Monetary Fund (IMF).
The world's biggest energy companies are cutting hundreds of billions of dollars in future spending, and the cash crunch has led the OPEC leader to sell bonds to raise $27 billion.
It was the first time Saudi Arabia tapped the bond markets in eight years.
Now there are signs Saudi Arabia is pulling out cash from global asset management firms like BlackRock.
During the past 6 months, Saudi Arabia has withdrawn $50-70 billion from global asset managers, according to financial services market intelligence company Insight Discovery.
Now, the kingdom is looking for ways to cut "non-essential spending,"
Finance Minister Ibrahim al-Assaf told CNBC.
In addition, Saudi is looking at other industries for the country's future growth.
Speaking on the rapid growth of tourism to the country at an event organized by the Saudi state, economists and experts said that tourism and national heritage are the sectors most likely to become pillars for Saudi Arabia's future economy -- one that is currently predicated on oil exports.
However, analysts like Warren Gilman believe we might not see a cut in production from Saudi in the December OPEC meeting.
[WARREN GILMAN ,CEF Holdings ,Chairman & CEO] "I would expect they would not have a supply response, they would expect at that point, they would finally see that their strategy is having the benefit that it was expected, which will be finally have a drop in production in non-OPEC countries, JOIN TO They got to maintain the supply discpline, notwithstanding the impact thats going to have on their fiscal reserves in order to ultimately drive some of the supply out of the market in the medium to longer term, not just for a few month."
For now, it looks like the kingdom is still keen on the market share strategy.
CNBC's Qian Chen, reporting from Singapore.
THERE'S TALK OF A PUMPKIN SHORTAGE BY PIE TIME FOR THANKSGIVING, BUT NOT FOR HALLOWEEN.
BUT, YOU KNOW, THERE ARE PUMPKINS...AND THERE ARE PUMPKINSTEINS.
HERE IS THE STORY OF ONE FARMER'S GREAT PUMPKIN DREAM.
SOT: (deko: AUG. 2014) this is my creation, this is my molded fruit.
THAT'S TONY DIGHERA OF CINAGRO FARMS WHEN WE MET HIM A YEAR AGO.
AFTER FOUR YEARS OF TRIAL AND ERROR HE FOUND A WAY TO GROW PUMPKINS INTO MOLDED SHAPES...AND DID THE SAME WITH WATERMELONS. HE WAS SELLING THEM FOR AS MUCH AS A HUNDRED BUCKS TO WHOLE FOODS AND HIGH END STORES.
OUR STORY WAS FOLLOWED BY ONE IN THE NEW YORK TIMES, NETWORK TV...SO WE WENT BACK TO THE FARM.
sot (deko: OCT. 2015, TONY DIGHERA, CINAGRO FARMS) (me) describe what the last year has been like. (him) the last year, boy let me tell you, something i never expected.
BUILD A BETTER PUMPKIN AND THE WORLD WILL BEAT A PATH TO YOUR DOOR...OR AT LEAST SAM'S CLUB WILL. THE WALMART SUBSIDIARY HAD TO CONVINCE DIGHERA TO DO BUSINESS, NOT THE OTHER WAY AROUND.
sot (deko: Russ Mounce, Sam's Club floral/produce VP) (me) when you saw the first one in person, what did you think? (him) is it real? and it's amazin.
i mean it is a real pumpkin. Tony is a very innovative grower, and it aligns with a lot of our growers are innovative growers.
DIGHERA SIGNED WITH SAM'S, SCRAMBLED FOR MORE LAND, MORE FARMERS AND HAD TO LOWER THE WHOLESALE COST FROM 100 BUCKS TO UNDER 30...AT LEAST FOR SAM'S...HE'S STILL SELLING SOME TO OTHER CHAINS FOR MORE. IF HE CAN MEET THE DEMAND.
sot (DEKO DIGHERA AGAIN) Last year we did about five thousand, a little over five thousand. (me) how many do you want to do this year? (him) we've got orders for probably close to 90,000
WHAT'S THE PLAN FOR NEXT HALLOWEEN? WHITE PUMPKINS IN THE SHAPE OF SKULLS.
AND EVEN FAILURES ARE TURNING INTO SUCCESSES. THIS WAS A MISTAKE...THE BACK END OF THE MOLD FELL OFF... AND SOME PEOPLE LIKE THESE EVEN BETTER THAN THESE.
In Los Angeles, I'm Jane Wells, CNBC Business News.