Trade & Investment
From The Report: Saudi Arabia 2018
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For many decades Saudi Arabia has built its financial reserves with the proceeds of oil exports, while its increasingly affluent consumers have established the country as a significant importer of goods and services. However, lower oil prices have eroded the Kingdom’s healthy trade surplus, reminding countries around the world of the importance of having a diversified export base. Saudi Arabia’s newly formulated economic strategy aims to do just that, and targets an increase in foreign direct investment inflows to accomplish some of its goals. The coming years are likely to see considerable alterations to both the investment environment and the mechanisms that govern trading activity, as authorities aim to translate the strategy to reality.

This chapter contains interviews with Ibrahim Al Omar, Governor, Saudi Arabian General Investment Authority; and Saleh Al Solami, Secretary General, Saudi Exports Development Authority.

Articles from this Chapter

Overview

Branching out: The state seeks diversification at home and increased links abroad
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For many decades Saudi Arabia has built its financial reserves with the proceeds of oil exports, while its increasingly affluent consumers have established the country as a significant importer of goods and services. However, lower oil prices have eroded the Kingdom’s healthy trade surplus, reminding countries around the world of the importance of having a diversified export base. Saudi Arabia’s newly formulated economic strategy aims to do just that, and targets an increase in foreign…

Interview

Mutual growth: Ibrahim Al Omar, Governor, Saudi Arabian General Investment Authority (SAGIA), on commercial and investment reform
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Interview:Ibrahim Al Omar To what extent have recent bilateral agreements translated into specific investments? IBRAHIM AL OMAR: In the first half of 2017 Saudi Arabia saw foreign investment inflows of SR3.25bn ($866.5m) compared to SR1.39bn ($370.6m) in same period of 2016. To sustain this welcomed increase, Vision 2030’s objectives have guided us in a surgical examination of our commercial relationships with other nations to uncover new cooperation opportunities. The memoranda of understanding…

Analysis

Revised rulebook: A new Companies Law and updated corporate governance policies strengthen the business environment
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Increasing Saudi Arabia’s attractiveness as an investment destination is a broad effort, involving a number of government entities and alterations to the regulatory frameworks. Almost all of the ministry-level strategies found in the National Transformation Programme (NTP) 2020 have a bearing on the issue of investment, and their success will be measured in years rather than months. However, two major alterations already made to the legislative framework have allowed the Kingdom to make…

Interview

Diversifying operations: Saleh Al Solami, Secretary General, Saudi Exports Development Authority, on boosting outbound trade
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Interview:Saleh Al Solami What measures are being taken to boost export performance and diversification? SALEH AL SOLAMI: Saudi Exports worked on developing the National Export Strategy (NES), which highlighted challenges that hinder exporting and suggested corrective actions needed to realise Vision 2030 targets, including policy enhancement and reform in certain areas. The NES comprises three components: the export of local goods, the export of services, and trading and re-exporting. Each…