Neha Patil (Editor)

Saudi Vision 2030

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Saudi Vision 2030 (Arabic: رؤية السعودية 2030) lt is a plan to reduce Saudi Arabia's dependence on oil and rely on alternatives diverse economy and the development of service sectors such as health, education, infrastructure constructive, recreation and tourism and many more.

Contents

Reinforcement economic and investment activities and increase the non-oil industries trade between the countries through the goods and consumer products increased government spending on military manufacturing equipment and ammunitions,to remove the country's dependence on oil.

Details were announced on the 25th of April 2016 by Deputy Crown Prince Mohammad bin Salman Al Saud, Plans including 80 projects costing at least $3.7 million and also up to $20 million to implement the Saudi Vision 2030.

Goals of Vision

  • Sovereign Fund: Saudi Arabia will work to transform the Saudi Public Investment Fund to sovereign fund assets valued to $2.5 trillion, making it the largest globally sovereign funds. Deputy Crown Prince explained that the fund will controls more than 10% of the investment capacity in the globe, and the estimated size of the property by more than 3% of global assets. He added that Saudi Arabia will be the strength of investment through the fund, which will be a key driver of the globe and not just on the region.
  • Freedom from Oil: Can Saudi Arabia live without oil by 2020, it will be able to achieve this economic plan, even if the price of oil was $30 or less, and it is almost impossible to break the oil price $30 by virtue of global demand. The plan aims to increase non-oil revenue six-fold from about $43.5 billion annually to $267 billion, also aims to increase non-oil exports as a share of 16% of GDP currently to 50% of GDP. Saudi Arabia is seeking to improve their position to become one of the top 15 economies in the world, instead of its current place in the 20th. In terms of energy sources will create a vast pool Saudi Arabia of solar energy in the north of the country, and that the Saudi industry will be based on the strengths and avoid the weaknesses such as scarce water resources, under the direction of investment in Egypt and Sudan.
  • Substracting Aramco: Saudi Arabia will offer less than 5% of the giant national oil company Aramco public offering on the stock exchange and will allocate the proceeds of IPO to finance the Saudi sovereign wealth fund, and Aramco is part of the main keys of the economic of the vision so, the company is a part of several benefits notably transparency, if Aramco raised in the market means you must announce their lists and become under the control of all the Saudi banks and all the analysts and thinkers Saudis, and the entire international banks. Aramco is expected to assess the overall by more than $2 trillion.
  • Green Card: Deputy Crown Prince announced that Saudi Arabia will apply green card system within five years in order to improve the investment climate, and that the system will enable the Arabs and Muslims from consuming live in Saudi Arabia, and that the Kingdom will open tourism to all nationalities in line with the values and beliefs of the country.That the comprehensive reforms planned, including the green card system will be applied even if oil prices rose above $70 a barrel again.
  • 30 million pilgrims: Saudi Arabia is planning to increase the number of pilgrims every year from 8 million to 80 million by 2030 and that the work of the development of infrastructure as an airport Jeddah, Taif and the new airport will support the plan, in addition to the development of infrastructure in Mecca and investment areas surrounding the Haram al-Makki.

    • Deputy Crown Prince announced that Saudi Arabia will set up the largest Islamic museum in the world and will be based in Riyadh, to provide an opportunity for non-Muslims to visit.

  • Employment and the private sector: The plan aims to increase the participation of women in the labor market from 22% to 30%, and reduce the unemployment rate among Saudis from 11.6% to 7%. Saudi Arabia is seeking to increase the contribution of the private sector in the gross domestic product from 3.8% currently to 5.7%.
  • Military industry: Saudi Arabia is creating a holding company and military industries fully owned by the government raised later in the Saudi market, and is expected to launch in late 2017.
  • Housing Projects: The Saudi government will work to restructure the housing sector to contribute to raising the rates have Saudis. also, spending on infrastructure projects will continue, but that economic vision for 2030 will not require government high spending. Saudi Arabia will be established for the management of the office of government projects and his job that records all the plans and goals, and begin turning it into numbers, and to measure the performance of the league, and monitor the suitability of the work of government agencies, and the government's plans and programs of the government in achieving the goals.
  • Anti-Corruption: The plan is to strengthen the fight against corruption and measure the performance of government departments through 551 index measuring about 17 major component, comes in the forefront education, health, housing, and social justice, in addition to infrastructure, measurement of the cervical role to confront the corrupt implementation of plans and programs offered officials in government agencies. And raise the efficiency of the public sector, privatization, with the availability of larger institutions to the private sector opportunities, and focus on supporting small enterprises, and expanding in the privatization.

    • About Vision

  • Access to the center (36) to the center (5) in the first electronic-government index.
  • Increase the proportion of local content in the oil and gas sector (40%) to (75%).
  • Rating (3) Saudi cities among the best top (100) cities in the world.
  • Increased government non-oil revenue from $163 billion to $1 trillion annually.
  • Raise the proportion of non-oil exports (16%) to (50%) at least of the total non-oil GDP.
  • Access the contribution of the private sector in GDP (40%) to (65%).
  • Raise the FDI percentage of GDP (3.8%) to the global average (5.7%).
  • Raise the proportion of local content in the oil and gas sector (40%) to (75%).
  • Raise the contribution of small and medium enterprises in the GDP (2%) to (35%).
  • Progress in the order of Saudi Arabia of Logistics, Performance Index ranking (45) to (25 worldwide) and (1) regionally.
  • Jump from the center (25) in the Global Competitiveness Index to one of the centers (10) first.
  • Improving social capital index of rank (26) to rank (15).
  • Effective number of archaeological sites registered in UNESCO at least doubled.

    • References

    Saudi Vision 2030 Wikipedia
    (Text) CC BY-SA