Saudi Arabia has embarked on an ambitious reform agenda, which is termed as Vision 2030 . The reform agenda aims to transform its economy and society in the coming decade and the program encompasses a broad range of changes: fiscal reform, human capital reforms, and a restructuring of the economy. Vision 2030 also includes improved structural reform, transparency, and a package of economic and social policies.
Saudi Arabia needs to come up with a plan to reduce the dependence on oil and the Government has to act now to diversify its economy and increase revenues. One key option is to privatize state-owned enterprises (SOEs).As it happens, Privatization is a critical aspect of Vision 2030, as well as its National Transformation Policy (NTP) 2020. The program is a response to both medium- and long-term challenges faced by the Kingdom: a rapidly growing population, with high youth unemployment and a reliance on government spending.
For privatization to succeed in Saudi Arabia, it needs to be done right and done well. Our report elaborates on the four key points to consider: