Saudi Arabia is promoting business privatization to facilitate economy diversification and national employment. Attempts at diversification center on energy production, telecommunications, natural gas breakthrough, and petrochemical divisions. In the country’s oil industry and service divisions, around 5.5 million employees are from foreign countries. Saudi government is principally centered on providing work for the big youth populace, which is deficient in education and technological expertise. Riyadh has maximized expenditures on job training and education, particularly with the opening of the King Abdallah University of Science and Technology, the country’s primary co-educational institution of higher education. To increase business ventures on foreign goods and services, Saudi Arabia joined the World Trade Organization (WTO) in 2005. The government started launching "economic cities" throughout the country to encourage economic growth. In 2004-2008, the continuing increase in the world’s oil price earned Saudi Arabia sufficient financial reserves to cope with worldwide financial disaster. However, in 2009, its economic development was hampered due to strict global credit, declining oil prices, and the large-scale economic crisis. This impediment delayed several economic expansion plans. Saudi establishments sustained the banking division throughout the global crisis by directing asset investments into banks, decreasing rates, and openly confirming Saudi administrations security of bank deposits (“Middle East: Saudi Arabia”).
Saudi Arabia is the world’s biggest producer and exporter of petroleum. The oil industry was discovered in the 1930s but was commercially produced after World War II. In 1951, the Arabian-American Oil Company (ARAMCO) was established, granting 50% net earnings to Saudi Arabia. Since the 1960s, petroleum brought huge revenues to the Saudi ...
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“The Economy of Saudi Arabia Essay Example | Topics and Well Written Essays - 1250 Words”, n.d. https://studentshare.net/miscellaneous/393580-the-economy-of-saudi-arabia.
It will also talk about the solutions and how the common people are affected because of inflation. Graphs will represent the changes in the rate of inflation for a period of 10 years. Introduction The development of the economy of Saudi Arabia occurred with the establishment and the expansion of the Saudi state in the past five decades.
The industries of petrochemicals have the roles or producing chemicals by using raw materials such as oil and natural gas. The petrochemical industry of Saudi Arabia has a high relativity in the economy of Saudi Arabia (Cordesman and Obaid, 2004). The petrochemical industry in Saudi Arabia is the second largest industry in the country.
Bahrain and Saudi Arabia are both situated in the Middle East. Bahrain is much smaller than Saudi Arabia in terms of area, population and GDP size. Consequently, Bahrain’s economy and Saudi Arabia’s economy differ in their overall structure and composition. The aim of the analysis is to identify similarities and differences between two economies.
In the first part of the paper, the term inflation is defined, its causes are discussed, its measurement techniques and how one combat with it are also discussed. In the second part of the paper, we have moved towards the more realistic approach. The data is extracted from the various reports and researches and it is refined through tools such econometric regression to determine the correlation between the two variables, that are inflation and money supply.
It is estimated that oil export revenue accounts for 90-95% of the country's total earnings, 70-80% of the total state earnings, and 40% of Saudi Arabia's Gross Domestic Product (GDP). The country's robust economy therefore, is indicative of the strong performance of Saudi Arabia's oil industry specialize in the production and shipment of oil (Saudi Arabia 1-2).
The natural assumption that the availability of a rich natural resource such a soil would automatically entitle a country possessing it to affluence therefore appears to be belied by the statement of the Prime Minister of Sao Tome.