For some discussion on this, joining me in the studio is He Wenping from the Chinese Academy of Social Sciences. Welcome.

Q1: The Saudi plan to diversify its economy is perhaps a result of market uncertainties and regional tension. What challenges lie ahead as it implements the reform. How serious should we take their plans to reform?

Q2: Regional tension, especially its rivalry with Iran, are redefining the Saudi strategy. It announced an increase in military spending this year despite a cut in all other expenditures. What does that tell us about Riyadh's economic and political dilemma?