Shareek, a fast-track path for business growth 
One of the main goals of the Kingdom’s Vision 2030 is to support the private sector’s growth.
Crown Prince Mohammed bin Salman announced the launch of the investment program Shareek in March 2021 to enhance the growth of the Saudi private sector and to improve its contribution to the national economy.
Shareek is designed not only to support private sector growth but also to act as a powerful tool for collaboration between the public and private sectors.
The main goals of Shareek are to encourage proactive public partnership with the private sector and provide tailored support to secure specific enablers for each participating company. It also constitutes a fast-track path for private sector growth.
These goals aim to raise the private sector’s contribution to the Kingdom’s non-oil gross domestic product from 40 percent to 65 percent and increase the proportion of non-oil exports from 16 percent to 50 percent by 2030. They also aim to further develop private sector investments to reach SR 5 trillion ($1.3 trillion) by 2030.
It is expected that, by 2030, Shareek will contribute an investment worth SR 27 trillion to the Kingdom’s economy.
Recently, the Saudi Cabinet signed off on a plan to transform Shareek into a center, a move that will strengthen its capabilities and improve its performance to better support the private sector.
Shareek is designed not only to support private sector growth but also to act as a powerful tool for collaboration between the public and private sectors.
The center has launched its first package of 12 ambitious projects for eight Saudi companies with an amount exceeding SR 192 billion. This will enhance the partnership between the public and the private sectors in the Kingdom, and it will support major Saudi companies.
It will also enhance the growth of the Kingdom’s economy, localize industries and strengthen the partnership between private and government sectors and associations.
The package will contribute SR 466 billion to the Kingdom’s GDP by 2040 and create over 64,000 new direct and indirect job opportunities for Saudi nationals.
Without a doubt, Shareek has succeeded in providing remarkable support for the private sector, especially when considering the launch of its latest projects, which will mark a significant milestone.
Also, it has succeeded in building up a proactive partnership between public companies and the private sector, especially in its ability to eliminate barriers that used to stand in the way of the private sector’s growth and prosperity.
Finally, it has managed to secure significant enablers for transferring local companies to transcontinental corporations and create a long-term roadmap to support fast-track collaboration between public and private sector companies.
• Talat Zaki Hafiz is an economist and financial analyst. Twitter: @TalatHafiz
