Saudi Arabia best place to do business

RIYADH: The World Bank has ranked the Kingdom as the best place to do business in the entire Middle East and Arab world. The Kingdom is thus ahead of Bahrain (20th), the UAE (33rd) and Qatar (39th), according to the bank’s Annual “Doing Business” report released on Tuesday at a press conference held at the Saudi Arabian General Investment Authority (SAGIA) headquarters.
According to the report, Saudi Arabia is the 13th most competitive country in the world and is set to become one of the top 10 most competitive countries by 2010.
“Our economic reforms aim at making the Kingdom the most attractive destination for investment in the world,” Dr. Awwad Al-Awwad, deputy governor for Investment Affairs at SAGIA and president of the National Competitiveness Center (NCC), told newsmen. He invited foreign investors to learn more about the business environment in the Kingdom and to join the growing business community in Saudi Arabia.
“Saudi Arabia has shown significant improvements in the ‘Doing Business’ rankings over the past five years, leaping from 67th position in 2004 to 38th in 2006, 16th in 2007 and to the 13th this year,” Al-Awwad said.
He added that the Kingdom’s exceptional performance was the result of the vision of Custodian of the Two Holy Mosques King Abdullah whose aim is to modernize the Saudi business environment and attract foreign investors.
The World Bank also ranked Saudi Arabia ahead of advanced economies such as Japan, Germany, France and Switzerland. While Saudi Arabia holds the lead position, improvements in the region generally indicate it is a global hot spot for major investors. The bank praised the Kingdom’s recent reforms which have resulted in the country achieving the higher rank. “These reforms made it easier to do business in Saudi Arabia by simplifying the process, reducing the time and the cost to start a business and obtain permits,” the report stated.
Explaining the steps taken for the development of the Kingdom’s economy, Al-Awwad said the NCC and the “10 x 10” initiative was due to the leadership of King Abdullah.
“Under the king’s leadership, Saudi Arabia aims to become one of the top 10 most competitive countries in the world by 2010,” he said and appreciated the cooperation extended by the members of the private and public sectors and Saudi investors toward the achievement of Kingdom’s economic goals. “Competitiveness drives economic growth and contributes to sustained prosperity, encouraging entrepreneurship and the creation of new jobs.”
Al-Awwad said that the World Bank report was a vital reference for governments, international development agencies, and the private sector to assess the regulatory framework and competitiveness of nations.
“Saudi Arabia’s increased competitiveness signals the ongoing development of a dynamic and diversified economy in the Kingdom.”
He said that measures were being taken with the help of the Supreme Judicial Council to accelerate the establishment of commercial courts in the Kingdom. “We hope that this will become a reality by the end of 2010.” He said that such courts would boost investors’ confidence and bring more investments to the Kingdom.