RIYADH: The ongoing localization efforts in Saudi Arabia have helped provide job opportunities to over 500,000 Saudi nationals in the private sector since 2019, said a minister.
Speaking on the sidelines of the Saudi Economic Association Conference, the Kingdom’s Minister of Human Resources and Social Development Ahmad Al-Rajhi revealed that the initiatives related to the labor market strategy will be finalized before the end of 2025.
Pointing out that the labor market strategy has helped Saudi Arabia make huge strides, he added that these are reflected in the economic indicators of unemployment rates, the contribution of the labor force and workers’ productivity, the Saudi Press Agency reported.
For instance, the minister noted the goals of women’s empowerment initiatives, which were scheduled for 2025, were achieved in 2022.
Saudi Arabia has outperformed the goals of female employment outlined in Vision 2030, with their participation in the workforce now reaching 36 percent, ahead of the 2030 target of 30 percent.
Localization is a key agenda in Vision 2030 which aims to enhance local content in various sectors, as the Kingdom wants to diversify its economy away from oil.
In addition, it aims to localize the production of goods and services to raise their competitiveness and create sustainable job opportunities.
The minister revealed current employment patterns, including flexible, freelance and remote work.
He said this is expected to help an economic transition in the Kingdom, increase women’s contribution to the gross domestic product, and boost sources of per capita income, especially for university students and women.
In October 2022, Al-Rajhi noted that localization decisions have contributed to raising the number of Saudi workers in the private sector to over 2.12 million.
Earlier in February, the Cabinet approved the framework for granting incentives for localizing priority goods and services under the Vision 2030 strategy.
This move saw many Saudi companies, including Cruise Saudi, a Public Investment Fund-owned firm, reaching a Saudization rate of 71 percent since its launch in 2021.
“Cruise Saudi plans to create 50,000 direct and indirect jobs in Saudi Arabia by 2035, benefiting the local workforce,” the company’s CEO Lars Clasen told Arab News earlier this month during the Arabian Travel Market 2023 in Dubai.