Measuring the performance of SAGIA and its contribution to the development of the Saudi economy and its economic competitiveness
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In this study we try to explore the concept of SAGIA in a holistic context. The main focus of the research is on economy of Saudi Arabia and its relation with SAGIA. The research also analyzes many aspects of the Saudi Arabian economy and tries to gauge its effect on the economic progress of Saudi Arabia. Finally the research describes various factors which are responsible for the economic growth of Saudi Arabia and tries to describe the overall effect of SAGIA on the economy of Saudi Arabia.
Table of Contents
CHAPTER 1: INTRODUCTION1
Background of the study1
Aim of the research2
Significance of the Research2
CHAPTER 2: LITERATURE REVIEW3
Currency and Foreign Trade7
Unexpected Oil Wealth8
Al-Dabbagh's role in SAGIA's and Saudi Arabia's economic progress10
SAGIA will Strengthen Relationships12
Forecast of Saudi Arabia's economy12
The Business Sector of Saudi Arabia17
The Kingdom's Fiscal Policy20
Balance of Payments and Trade22
Foreign Direct Investments (FDls)28
Recent Economic Developments29
CHAPTER 3: RESEARCH METHODOLOGY32
Philosophical Framework or Paradigm33
Rationale for a Qualitative Study37
Literature Selection Criteria39
Data Analysis Procedures40
Quality and Verification41
CHAPTER 4: DISCUSSION AND ANALYSIS47
Dependency on foreign labour50
Economic structural adjustment52
Long-term strategy for the Saudi economy54
SAGIA's contribution for the economic growth of Saudi Arabia55
SAGIA's ways to achieve growth in Saudi Arabia56
CHAPTER 5: CONCLUSION58
Saudi Arabia Economy and SAGIA58
Future of Saudi Arabian Economy61
CHAPTER 1: INTRODUCTION
Background of the study
The Saudi Arabian General Investment Authority (SAGIA) was established in 2000 by the Saudi government for the purpose of creating a highly competitive economic climate. The establishment of SAGIA was a result of the boom in the Saudi economy due to the surpluses generated from the rise of oil prices. In 2010, experts projected that Saudi Arabia will generate a budget surplus of over 100 billion Saudi Riyals (CPI Financial, 2010). It is important to note that Saudi Arabia is the biggest oil exporter and has the largest oil reserves in the world an. Also, oil revenue contributes to more than 85% of Saudi Arabian government revenues (CPI Financial, 2010).One of the strategies that have been set since the establishment of SAGIA is the 10x10 strategy.
The objective of this strategy was to place Saudi Arabia into the top 10 most competitive economies by 2010. However, according the 2010/2011 Global Competitiveness Report (Schwab, 2010), Saudi Arabia was ranked as number 21. Hence, the objective has not been met. The purpose of the Dissertation is to understand the reasons for the failure of Government of Saudi Arabia to meet the ...