Hey there,
I haven't seen you for a while, I thought you might have lost your way getting in here
...
Saudi private sector economy is completely ruined with a lot of conglomerates established over years of hard work going bust
No, that is so broad. For example, You can't compare Al-Baik to Khalifa's Buffet - if you know what I mean -
Over the last few years, the private sector of KSA has been jumping by leaps and bounds. As a matter of the Saudi private sector takes the third out of all countries but China and India.
Saudi nonoil private sector to grow 7.6%, Third only to China, India
Additionally, growth is no longer dictated by oil:
Saudi growth no longer dictated by oil prices
Massive amount of capital has left the country, off-course local media will not declare this but one has to look into Saudi FDI into number of European countries especially UK which received record breaking Saudi FDI during year 2013. Recovering payments from clients and credit defaulters has become near impossible, only a miracle can put the business back on track
Like most countries on the planet, foreign investments are quite familiar, I wonder what would you say to the Chinese - considering the fact that they lent the US trillions and trillions of dollars -
Another thing is that these investments weren't transacted in the first place to recover them whenever the investors wish to do so. It's annual profits can make more and more money than withdrawing them.
Here are some key points that deserve to shed a better light on:
Saudi Arabia Foreign Investment
Similarly, KSA too attracted countries and major cooperation:
http://www.alarabiya.net/en/busines...ment-in-Arab-states-rises-despite-unrest.html
Investing here and there help a lot to gain influence, make profits and revenues. It will definitely have a positive impact in foriegn relations per country. The more you invest, the more geo-political weight you gain.
And the local MSM did speak about it bro!
Saudi Gazette - Saudi foreign investment, financial market promising
Saudi Gazette - Shoura moves to amend Foreign Investment Law
Saudi Gazette - SAGIA reaffirms the Kingdom as an investment destination
Saudi Gazette - Foreign investment in Turkish housing soars
Saudi Gazette - Foreign investment in Turkish housing soars
Had the program been successful, a number of measures would not have been rolled back silently without announcements. Some of them include.
The program wasn't design to expel as many people as possible, but rather those who stay undocumented, it is an offense as you probably might know. We don't have issues with those who stay documented or under the process of documentation, otherwise we wouldn't have give a considerable amount of time of an amnesty.
1. Return of 2 Years Iqama Renewal
I believe this will suit us the most. If your contractor wishes to get your contracted renewed, then it is well and good, if not then, you are expected to leave the country.
2. Equating all Saudis as 1 Full employee regards of their working status (Full Time / Student / Etc)
This makes no sense. A full-time employee should be a full-time employee, and a part-time Saudi student " employee " is a part-time employee. This is going to be cost(y) and unfair at the expense of other employees be it a citizen or an Expat.
3. Reduction in Nitaqat percentage for certain sectors and further reduction expected next week for contracting sector. A lot of manufacturing units have permanently closed their doors and shifted operated to Dubai Free Zones, Bahrain and India.
No, not " A lot of manufacturing units .. etc " remained close over this issue, only handful places.
But then again, These are the rules. If your employees remain undocumented or failed to document any or failed to find any local or foreign employees, then your place is going to be shut-down due to a violation of the laws.
The Hafiz program was exploited en masse as a free cash handout by a number of people who never intended to work. Overall the success of the program was 50/50 but with improvements we can see more employment of Saudis in sectors they can really perform and less pressure on labor dependent sectors such as manufacturing and construction.
I agree with you on that. Hafiz was slightly exploited, but things will go on the right track by now.
I don't believe any nationalizing a hell of an entire industry or another. I believe in opportunities, and those who came here didn't come to take money solely, they deserve it because of their hard-work.
The Saudis in the private sectors are doing fine for the time being, but I expect them to do more.
Saudi private sector economy is completely ruined with a lot of conglomerates established over years of hard work going bust. Massive amount of capital has left the country, off-course local media will not declare this but one has to look into Saudi FDI into number of European countries especially UK which received record breaking Saudi FDI during year 2013. Recovering payments from clients and credit defaulters has become near impossible, only a miracle can put the business back on track. Had the program been successful, a number of measures would not have been rolled back silently without announcements. Some of them include.
1. Return of 2 Years Iqama Renewal
2. Equating all Saudis as 1 Full employee regards of their working status (Full Time / Student / Etc)
3. Reduction in Nitaqat percentage for certain sectors and further reduction expected next week for contracting sector. A lot of manufacturing units have permanently closed their doors and shifted operated to Dubai Free Zones, Bahrain and India.
4. Roll back of 2400 Additional MOL fee.
The Hafiz program was exploited en masse as a free cash handout by a number of people who never intended to work. Overall the success of the program was 50/50 but with improvements we can see more employment of Saudis in sectors they can really perform and less pressure on labor dependent sectors such as manufacturing and construction.
