(Bloomberg) — Aramco maintained its quarterly dividend at $31 billion, despite falling profits, as Saudi Arabia’s multibillion-dollar economic transformation plans widen the budget deficit.

The company, majority owned by the Saudi state, retains the world’s largest payout despite growing signs of profit pressure. The outlook for oil has darkened due to concerns over demand, but the dividend is key to the government’s finances.

The test of how long the payment can be sustained will likely come early next year, when a special component, which amounts to $43 billion a year, is expected to begin to decline. Aramco is already paying more than it earns, putting pressure on its balance sheet with production near the lowest levels since 2021 and oil prices down 13% over the past four months.

Aramco’s net profit fell 15% to $27.6 billion in the quarter ended September from a year earlier, according to a statement on Tuesday. That missed analyst estimates compiled by Bloomberg. Free cash flow – money from operations after capital expenditures – of $21.99 billion was less than the total dividend.

The payment is crucial for the Saudi budget as crude prices remain well below the levels the kingdom needs to balance its spending. Crown Prince Mohammed bin Salman is pursuing expensive projects such as the futuristic Neom project, but some projects – notably Aramco’s own chemical plants – are being canceled due to financing problems.

The government directly holds more than 81% of the capital and the sovereign wealth fund an additional 16%.

Saudi Arabia has kept production at around 9 million barrels per day for more than a year as part of OPEC+ efforts to revive the market. The group further delayed its plan to gradually end cuts, as crude prices continue to struggle amid a fragile economic backdrop.

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