18/07/2017
In the latest edition for July
An economic report published by
Al Eqtisad newspaper published by Asharqia Chamber (July 2017) contains a
number of incentives, initiatives and plans that the Saudi economy is currently
witnessing the aim of "raising
revenues and saving expenses" to support the general financial situation.
The Saudi government has cut costs by $ 4.5 billion in the first quarter of
this year, exceeding expectations, fully reflects the full potential for cost
cuts, and provides for savings in the future, the report said, a number of experts and economists.
The report, titled "The Saudi Economy reviewed the features of a new road
map that seeks to substitute oil and its variables by motivating and encouraging all sectors of the
Saudi economy. A multi-resource economy yard.
Saudi Arabia plans to change its pricing mechanism for Europe as of July, as
part of efforts to increase the attractiveness of Saudi crude by facilitating
hedging to customers. Saudi Aramco will start pricing its exports to Europe,
the report said. On Brent crude on the Intercontinental stock exchange, after
years of pricing its oil based on the average of Brent crude, explaining that
the move would allow buyers of Saudi crude in Europe.
The report said that the Kingdom is open to understanding the experiences of
developed countries in the economic reform, so it will spend 200 billion riyals
to revive the growth of the national economy in four years. This is the launch
of the parallel financial market «NOMW», which comes within the efforts to
activate the movement of companies to prepare for public, Pointing to the
efforts of a number of ministries and government agencies concerned with
economy and planning to improve a short term
roadmap of the private sector, and reach the growth rate of the sector to 65%
in 2030, becoming the Kingdom of the 15 strongest economies in the world,
growing at 10% per year.
The report pointed to the active participation of the private sector in the
development, motivating and spotting of the growth indicators of the economy in
the next phase. The last period witnessed the holding of 100 workshops to take
the views of the private sector in three cities Saudi Arabia, Riyadh, Jeddah
and Dammam provided more than 1300 ideas as possible solutions to the
challenges, 700 participants from 11 government agencies, in addition to
representatives of the private sector, examined more than 60 initiatives.
As part of the stimulus measures in the Saudi economy, it mentioned some initiatives that have
already taken place on the ground (or are in the process of being launched),
including the cultural and sports entertainment city project west of Riyadh,
which is a model for diversifying the investment base. The opening of jobs for
Saudi youth, as well as dozens of initiatives directed at small and medium
institutions, as well as projects
announced in recent months, efforts are continuing in the Kingdom to enhance gas investments, the discussions with
international companies including BP, and Chevron to discuss opportunities in
gas projects as part of efforts to diversify investments. Kingdom of Saudi
Aramco.
The report said that one of the most important solutions to motivate the Saudi national economy is
(privatization) as one, Deputy Minister of Economy and Planning, Muhammed Al Twaijri
expected revenues of about 200 billion dollars in the coming years through the
privatization of government institutions
The report discussed a number of proposals aiming to enhance the performance of
the national economy. The most prominent of these was the report by Dr. Muhamed
Mahmoud Shams, head of the Feasibility Consulting Center following the
contracts concluded with the US during President Trump's visit to the Kingdom
last month.
