Saudi Arabia’s development can be measured by the magnitude of its capital and manufactured resources. The overspill of the boom years have left a visible burden of proof reflected by high rise building, mechanized factories, magnificent residences and well equipped airports, all tell-tale signs of sophistication, advancement, and growth.
But, true sustainable growth that guarantees continuity and prosperity can only be measured by the degree of sophistication of skills and expertise a nation’s human capital has. In the case of Saudi Arabia, the development of the national human power can only be achieved if the Kingdom develops a practical blueprint of reform for its education curricula and training needs.
In today’s fast growing economy countries are desperately trying to develop their competitive edge so as to become members and decision makers of a global organization that is becoming more and more recognized as an elitist’s club.
The creeping reality of the WTO is that it is becoming more and more discriminate and countries are becoming more and more competitive and the ultimate win will belong to the fittest. Saudi Arabia’s success in surviving its entry to the WTO can only occur if it fast-forwards the process of qualifying its youth, its single most valuable resource, to become a world-class creative and productive cerebral industry.
Economic development can only occur through the efficient use of the labor capital of a nation, hence its people. If a nation does not place the highest priority in developing the skills and the know-how of its human capital it would have paralyzed its single most productive resource, and thus doomed itself to mediocrity and failure. It is a simple matter of economics 101. Economics is about economizing, that is, making the best use of what we have. It means using the people’s skills and energies, the land, the buildings, the machinery and other economic resources efficiently so as to obtain the highest possible standards of living. A nation’s brain power as reflected in its human capital is the single most effective engine of growth; with education and training (based on market needs) are its fuel. The Kingdom of Saudi Arabia is no exception to that rule.
A clear and present challenge facing Saudi Arabia today is the consistent rise of unemployment mainly due to the quality and relevance of its education which does not reflect the realities of global changes. An education that does not place emphasis on industrial and technical abilities nor underscores the paramount importance of research and development activities, is a definite recipe for social and economic disaster. Even though we do not have accurate statistics on the current rate of unemployment in the Kingdom, United Nations surveys on Arab Development have shown the numbers to be large... for whatever the number is, we all know that the problem exists.
If according to estimates by the Saudi American Bank, the Kingdom’s economy creates some 30,000 jobs each year for Saudi nationals, and the estimated number entering the job market annually is 100,000 if not more... then there is definitely a surplus of unemployed labor. Add to that the fact that nearly 60 percent of the population is below the 16-year age group, is also a major cause for concern, because within the next 5 years that segment of society will have reached an employable age. Handicapped by the lack of technical, scientific and practical training, this segment is at a clear disadvantage to access employment since the private sector has no need for the kind of qualifications that have been embedded into him during the 22 years of schooling.
The highly competitive nature of a post WTO free trade world requires that young job seekers have specific skills that are prerequisite to all business and industry related activities... Workers of today require cerebral power more than physical might. Creativity, innovation, research abilities and entrepreneurial traits are the key ingredients with which to bring that forth.
This untapped human potential cannot surface without extreme intervention. If by the year 2025 the Arab nations collectively need to create around 100 million jobs, then the Kingdom must begin now to integrate ways of learning that promote life skills, business skills s as well as survival skills from the earliest stages of learning starting from Kindergarten... If this advice is heeded, then maybe by the year 2025 we would have managed to create our first lot of “world class” productive graduates booming with confidence and ready to embark on the exciting journey of doing business in a globalized world.
(Fatin Yousef Bundagji is director of Women Empowerment & Research at the Jeddah Chamber of Commerce & Industry.)