Saudi Arabia, because of its careful husbandry of its financial sector and assured income from oil, has remained relatively stable and was one of the few markets to achieve economic growth in 2009 albeit very small growth.
Of course it has not been immune from the global downturn in demand and the caution that has inevitably grown in the banking sector.
Nevertheless a second record budget has been announced this year, focusing on supporting demographic growth, and a classic example of this is the 25 percent of the budget that has been dedicated to education, training and manpower.
Custodian of the Two Holy Mosques King Abdullah has also guaranteed a $400 billion package to support infrastructural growth which has helped to propel Saudi Arabia high up the list of ‘High Growth Priority Markets’ for UK Trade & Investment. And I should emphasize that Saudi Arabia’s financial stimulus package is open equally to foreign and Saudi companies, not all can claim that.
So, in the first six months of 2009 Saudi Arabia stood out as a beacon of opportunity that attracted a lot of international attention. UK interest soared but I am far from convinced that we have delivered as much as we could or should. Saudi businesses often comment that UK business is famous for looking outward for opportunity but that they fear that this stance has reversed.
I do not believe that this is the case; the trade statistics alone disprove it, particularly the growth of service exports. Trade increased by 21 percent in 2009 and has already increased by a staggering 43 percent in 2010. But if we do not seize the opportunities I am in no doubt that others will.
UK Trade & Investment is the UK government organization that helps UK-based companies succeed in an increasingly global economy. Our range of expert services is tailored to the needs of individual businesses to maximize their international success.
UK Trade & Investment also helps local companies bring high quality investment from Saudi Arabia to the UK’s dynamic economy — acknowledged as Europe’s best place from which to succeed in global business. We provide support and advice to investors at all stages of their business decision-making.
UK Trade & Investment offers expertise and contacts through a network of specialists throughout the UK and Saudi Arabia. We provide companies with knowledge, advice and practical support — with offices in Riyadh, Jeddah and Alkhobar, our knowledge and market intelligence span the entire Kingdom.
Through a range of unique services, including participation at selected trade fairs, outward missions and providing bespoke market intelligence, we help our customers crack foreign markets both in Saudi Arabia and the UK and get to grips quickly with overseas regulations and business practice.
Contact: UK Trade & Investment, British Embassy, Riyadh; Tel: 00966 (0) 1 488 0077; E-mail: [email protected]
