JEDDAH, 18 May 2003 — Saudi women in the business and economic sector attended an introductory meeting set up by the Women’s Training Program at Jeddah Chamber of Commerce and Industry yesterday. The meeting was in honor of Laetitia van Rensburg, the South African chief director of the department of tourism, environment and economic affairs.
She is in Saudi Arabia to promote tourism and investment opportunities in South Africa, particularly small businesses. Although women there face many of the difficulties Saudi women do in terms of financing and developing their skills, van Rensburg pointed out that they have succeeded in manufacturing and construction industries as well as in small businesses benefiting from, and attracting tourism.
“We are trying to create an international market for our arts and crafts,” she said. “We have also set up a system of co-operatives in which small companies producing the same item can work together to deliver a large order.” To start a business, she recommends that an investor should do research to identify market needs and the next step is thorough planning.
“Start small and start with what you have,” she advised. For example, in Saudi Arabia there is a large petrochemical industry that we can downstream into its raw material to be used in various products.
Another area is tourism, which she says is the fastest growing industry in the world and women are suitable for it, “You can promote Saudi culture, Saudi shopping and safety as key attractions,” she said. The IT industry is also a growing sector and there is a lot of potential in it for women. “Diversification, quality products, packaging appropriate for the local market and establishing preferential markets,” are other tips she gave to those at the meeting.
Askesd what she thought of Saudi women’s potential in business she said that they must be integrated into the mainstream economy. “There is huge untapped power in women and if channeled correctly, it will add to the economy.”
Dr. Nahed Taher, senior economist at the National Commercial Bank, spoke about the general state of Saudi economy. “The good news is that we have had an increase in money supply and increased earnings in the past two years, but this has not been matched by an acceleration in providing loans because there aren’t many investment opportunities,” Dr. Taher.
“Most of the money went into the Saudi stock market, which is not well-diversified, and into the real estate market,” she continued. There are other factors that contribute to market uncertainty, she explained. First is the oil market uncertainty due to the situation in Iraq as well as the overall worldwide decrease in demand. Other factors are the demographic challenges in Saudi Arabia, specificially the growing population of young people and the fiscal policy of the United States which affects the whole world.
