Kingdom’s drive to spur nonoil growth in focus

Kingdom’s drive to spur nonoil growth in focus
Updated 26 August 2014

Kingdom’s drive to spur nonoil growth in focus

Kingdom’s drive to spur nonoil growth in focus

The latest developments in Saudi Arabia’s efforts to diversify its economy and drive nonoil growth will be charted in a new report just produced by the global publishing, research and consultancy firm Oxford Business Group (OBG).
The Report: Saudi Arabia 2014 will analyze the reforms, which are being rolled out in a bid to boost foreign investment, including a landmark decision to liberalize the Kingdom’s capital markets.
The publication will also explore the role that improved access to raw materials is likely to play in attracting new international investors to lighter segments of industry.
The Report: Saudi Arabia 2014 contains contributions from the Riyadh Gov. Prince Turki bin Abdullah bin Abdul Aziz, Minister of Finance Ibrahim Al-Assaf, Minister of Petroleum and Natural Resources Ali Al-Naimi, Minister of Labor Adel Fakeih and Saudi Stock Exchange CEO Adel Al-Ghamdi, together with a detailed, sector-by-sector guide for investors.
International representatives, including Irish Prime Minister Enda Kenny, Singapore Minister for Trade and Industry Lim Hng Kiang and GCC Secretary General Abdul Latif Al-Zayani, also gave their views on Saudi Arabia’s development.
Saudi Arabia remains the world’s largest oil producer, accounting for 13.1 percent of global output, although its growing needs at home risk weighing on exports.
OBG’s new report provides coverage of the Kingdom’s efforts to increase natural gas output as a means of meeting rising domestic demand.
It also looks at the country’s decision to invest heavily in new water and power projects which will help boost generation significantly.
The report also shines the spotlight on the long list of major upgrades planned for the country’s transport sector, which will improve connectivity and bolster the country’s logistics industry.
The publication will consider the part that the GCC rail project will play in linking the region, while also focusing on local initiatives, including the new metro planned for Makkah and the transport infrastructure, which forms part of Jeddah’s urban regeneration.
OBG’s report puts Saudi Arabia’s new mortgage law under the microscope, analyzing the role that the legislation is expected to play in offering home buyers more flexibility.
The report also explores the potential for further growth and diversification in the Islamic financial services segment.
Regional Director Jana Treeck said that Saudi Arabia’s drive to create a more open business environment and broaden its economic base had generated a new audience of investors looking for information and data on the country.
“Along with the main engine of growth, the Kingdom’s hydrocarbons sector is now also supporting Saudi Arabia’s diversification efforts,” she said. “Our new report looks in detail at the sectors of the Saudi economy marked for expansion, while providing the growing number of investors who are keen to tap into these opportunities with the business intelligence they need.”
Andrew Jeffreys, OBG’s CEO, stated that aside from the major infrastructure and transport projects in the pipeline, The Report: Saudi Arabia 2014 also noted the Kingdom’s efforts to encourage small business growth. “With expansion forecast in key nonoil industries, such as logistics, heavy industry and retail, there will be plenty of developments for our team to document in the next phase of its research and relay to investors,” he said.
The report marks the culmination of more than six months of field research by a team of analysts from OBG. The publication assesses trends and developments across the economy, including macroeconomics, infrastructure, banking and other sectoral developments.
The Report: Saudi Arabia 2014 has been produced with assistance from the Riyadh Chamber of Commerce and Industry, the Jeddah Chamber of Commerce and Industry, and Asharqia Chamber. Contributions have also been made by PwC, the Law Office of Salman M. Al-Sudairi in Association with Latham & Watkins, Saudi Hollandi Bank and Deutsche Securities Saudi Arabia.