Economy and Business growth in the Kingdom of Saudi Arabia
Saudi Arabia’s economy and Business has witnessed a growth in a large number of sectors, Firstly taking advantage of the natural resources in the Kingdom and its geographical and cultural position between three continents. This growth resulted in building a solid economic base, becoming one of the twenty largest global economies and an active member of the G20.
Saudi Arabia is one of the main players in the global economy and global oil markets, supported by a strong financial system, an effective banking sector, and giant government companies based on highly qualified Saudi talents.
In order to develop and diversify the economy and reduce dependence on oil, Saudi Arabia launched Vision 2030; built on several economic and financial reforms, which aim to transform the structure of the Saudi economy into a diversified and sustainable economy focused on enhancing productivity, increasing the contribution of the private sector, and empowering the third sector.
Promoting local content and national industry Economy and Business
Vision 2030 aims to enhance local content in various sectors, through localizing the production of goods and services to raise their competitiveness and create sustainable job opportunities.
A number of initiatives were launched to increase the rate of localization and support national products as well as expanding the industrial base in the Kingdom to include the production of new products.
A new government procurement system was also launched that stimulates local content, followed by the creation of Local Content and Government Procurement Authority, and a military industries company aimed to increase the rate of localization in the military sectors.
Launching and developing promising economic sectors.
Vision 2030 supports promising sectors and seeks to develop them to be a new pillar of the economy, by setting the necessary policies and regulatory frameworks, and stimulating and facilitating investments.
The vision has worked to enhance the role of industrial cities to develop the mining sector, including the cities of Ras al-Khair and Waad Al-Shamal. The sector has been further enabled by launching a mining investment system and improving the infrastructure for logistics services and investments.
In addition to this, Saudi Arabia launched the National Investment Strategy, driving the growth of domestic and foreign investments, in addition to attracting major international companies to open their headquarters in the Kingdom and to continuing progress in the privatization program to enhance the role of the private sector and raise productivity rates.
Finally, Vision 2030 has contributed to enhancing the sustainability of public finances by raising the efficiency of government spending on capital projects and operating expenditures, and in diversifying sources of income for the government, through developing non-oil revenues, and providing supportive financing tools to enable the Kingdom’s general budget through the National Debt Management Center and raising efficient financial planning, budget execution, digital and technical transformation, and enhanced transparency.
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