Saudi Arabia Businessforecast Industry Forecast

The Saudi Arabia Business Forecast Report provides essential macroeconomic, political and financial analysis for companies doing business in Saudi Arabia. The Saudi Arabia Business Forecast Report helps businesses with Saudi Arabian market assessment, strategic planning and decision making to promote growth and profitability in Saudi Arabia and is an essential tool for CEOs, Chairmen, Finance Directors/CFOs, Managing Directors, Marketing/Sales Directors with commercial interests in this emerging market.

An influential new analysis of Saudi Arabia's political, economic and financial prospects through end-2012, just published by award-winning forecasters, Business Monitor International.

 

 

 

Key Uses of the Saudi Arabia Business Forecast Report | Saudi Arabia's Political Outlook | Saudi Arabia's Economic Outlook | Saudi Arabia's Business Environment | Key Saudi Arabia Industry Sectors | Saudi Arabia BMI's Executive Summary | Our Middle East Subscribers | Full Range of BMI's Business Forecast Reports

Key Uses for the Saudi Arabia Business Forecast Report

  • Forecast the pace and stability of Saudi Arabia's economic and industry growth through end-2012
  • Identify and evaluate adverse political and economic trends in Saudi Arabia, to facilitate risk mitigation strategies
  • Assess critical shortcomings of Saudi Arabia's business environment that pose hidden barriers and costs to corporate profitability
  • Contextualise Saudi Arabia's country risks against Middle East regional peers using BMI's country comparative risk ratings system
  • Target business opportunities in Saudi Arabia's high-growth industry sectors
  • Evaluate external threats to doing business in Saudi Arabia, including currency volatility, the commodity price boom and protectionist policies

The Saudi Arabia Business Forecast Report by Business Monitor International includes four major sections: Saudi Arabia's Political Outlook, Saudi Arabia's Economic Outlook, Saudi Arabia's Business Environment and Saudi Arabia's Key Industry Sectors.

Saudi Arabia's Political Outlook:

What are the political risks to doing business in Saudi Arabia over the next 5 years?

BMI's Saudi Arabia Country Risk Ratings evaluate the short and medium-term threats posed by government instability, adverse economic policy-making, deterioration in the business environment and external shocks.

Saudi Arabia Political Outlook Contents

  • SWOT Analysis for the Saudi Arabian Market
    Political Strengths, Weaknesses, Opportunities and Threats facing Saudi Arabia.
  • Political Stability and Risk Assessment for Saudi Arabia
    BMI's Risk Ratings assess explicit short and long-term risks to political stability; latest ratings, rankings and trends for Saudi Arabia's risk are compared with Middle East regional and global averages.
  • Current Administration and Policy-making in Saudi Arabia
    BMI profiles key policy-makers and power-brokers in the Saudi Arabian government, assessing threats to the continuity of Saudi Arabian economic policy, and likely changes to the business operating environment through end-2012.
  • Saudi Arabian Foreign Policy
    BMI examines key trends and shifts in Saudi Arabia's foreign relations and alignments with Middle East neighbours, the United States and Europe, focusing on external influences.

Key Benefits

  1. Benchmark Saudi Arabia's risk profile against its neighbours, the global and regional average, allowing easy comparison of risks between key business markets.
  2. Identify, evaluate and anticipate political and security risks to the business environment in Saudi Arabia, and to your company's current operations and future plans.
  3. Gain valuable insights into the Saudi Arabian government and policy-making, through BMI's specialist team of analysts and economists, and their exclusive network of private and public sector sources.

Saudi Arabia's Economic Outlook:

How will Saudi Arabian economic policy-making and performance impact corporate profitability over 2008-12?

BMI provides fully independent 5-year forecasts for Saudi Arabia through end-2012 for more than 35 macroeconomic variables. We evaluate Saudi Arabian growth, and also forecast the impact of economic management, including central bank policy, on profitability.

Saudi Arabia Economic Outlook Contents

The Saudi Arabia Business Forecast Report features explicit BMI economic forecasts for Saudi Arabia, with supporting commentary and analysis, for end-2008, 2009, 2010, 2011 and 2012 set against Saudi Arabian government views. Underpinning our Saudi Arabia forecasts are key assumptions for the global economy through end-2012, covering growth, inflation, employment, trade and investment, interest and exchange rates in the US, Japan and the Euro-zone.

Coverage of Key Economic Issues in Saudi Arabia

  • Economic Activity in Saudi Arabia
    Real GDP growth; industrial growth; employment growth; inflation and consumer prices; consumption (indicative wages, retail sales, consumer confidence)
  • Fiscal Policy in Saudi Arabia
    Current macroeconomic strategy and implementation policies; government finance (revenue, expenditure, budget balance); tax reforms
  • Monetary Policy in Saudi Arabia
    Interest rate trends (bank lending and deposit rates); inflation (retail price inflation, consumer price inflation); exchange rate policy in Saudi Arabia; Saudi Arabian currency controls; influence of foreign direct investment inflows; exchange rates and foreign exchange reserves
  • Balance of Payments in Saudi Arabia
    Merchandise trade (exports, imports, trade balance); current account balance
  • Foreign Direct Investment in Saudi Arabia
    Foreign direct investment approvals and inflows; the foreign investment climate
  • Saudi Arabian External Debt
    Debt profile (short- and long-term debt; public and private sector exposure)

Key Benefits

  1. Rely upon BMI's 100% independent Forecast Scenarios for Saudi Arabia and underlying assumptions - we take no advertising and are privately-owned.
  2. Exploit the benefits of BMI's comprehensive and reliable macroeconomic Saudi Arabia database, sourced and fully maintained by BMI from an extensive network of private sector, government and multilateral contacts.
  3. Gain key insights into the current and future direction of Saudi Arabian government economic policy

Saudi Arabia's Business Environment:

How internationally competitive is Saudi Arabia's regulatory environment, and what changes can be expected?

BMI assesses levels of transparency, flexibility of labour market, tax burden, development of the banking sector and credit availability, infrastructure and IT, foreign investment regime and trade liberalisation in Saudi Arabia.

Saudi Arabia Business Environment Contents

  • Saudi Arabia's Business Environment Risk Rating with SWOT Analysis
    Short and long-term business environment risk ratings for Saudi Arabia, benchmarked against ratings for the Middle East and neighbouring countries.
  • Country Competitiveness for Saudi Arabia
    Competitiveness of Saudi Arabia's business operating environment in supporting corporate growth and profitability over the 5-year forecast horizon, compared with regional neighbours.

Coverage of Key Business Environment Issues in Saudi Arabia's Domestic Environment

Transparency, cronyism and corruption; labour market flexibility; corporate tax burden; interest rate levels; access of private sector to lines of credit; sophistication of banking sector and stock market; levels of business confidence; infrastructure and IT

  • Foreign Direct Investment in Saudi Arabia
    Analysis of foreign investment regime, foreign ownership laws; attractiveness of business environment to foreign investors; review of major foreign direct investments over the last 24 months, and of strategic sectors attracting most interest
  • Foreign Trade with Saudi Arabia
    Analysis of trading environment, government trade policy, liberalisation measures, tariffs and membership of trade areas

Saudi Arabia's Key Industry Sectors

Which industry sectors in Saudi Arabia will grow fastest, and where are the major investment opportunities in the Saudi Arabian market?

BMI targets investment opportunities in Saudi Arabia's high growth industries, including automotives, food and drink, infrastructure, oil and gas, pharmaceuticals and healthcare, telecommunications and IT.

Coverage of Saudi Arabia's Key Industry Sectors - Saudi Arabian Market Overview

Size, value and structure of industry; impact of liberalisation and privatisation on sector performance and prospects; friendliness of business environment

  • Latest Developments in Saudi Arabia
    Review of latest projects, deals, privatisations, mergers and acquisitions, and implications for sector performance; company rankings for national and multinational companies in Saudi Arabia; main industry players by local sales, employee size, market share and main brands, products and services
  • 5-year Industry Forecast for Saudi Arabia
    Historic dataset (2003-2007) and BMI forecasts through end-2012, covering headline industry data broken out by sub sector

Key Benefits

  1. Target strategic sector-by-sector opportunities in Saudi Arabia's high growth industries, attracting public expenditure and foreign investment; identify key players and competitors driving growth, investment and business opportunities.
  2. Benefit from competitive intelligence on top national and multinational companies operating in Saudi Arabia's major industry sectors, including analysis of recent trends in sales and market share, company strategies, product launches and latest deals.

Who buys the Middle East Business Forecast Reports?

The Saudi Arabia Business Forecast Report is an essential tool for CEOs, Chairmen, Finance Directors/CFOs, Managing Directors, Marketing/Sales Directors with commercial interests in Saudi Arabia.

Our Business Forecast Reports are relied upon by corporates, banks, government departments and multinational organisations around the world.

Business Monitor International's Business Forecast Report subscribers include:

3M, Abbott Laboratories, Accenture, Access Bank Plc, ADNEC, American Express (Middle East) BSC, Arab Swiss Engineering Co ASEC Group, Astra Zeneca, Bahrain Petroleum Company, BNP Paribas, British American Tobacco SA (pty) Ltd, Crown Industries, Ernst & Young, GE International Inc, Gulf Holding Company, Hyder Consulting, Impact/BBDO, Intercontinental Bank Plc, Kellogg, Mobinil, PricewaterhouseCoopers, Samsung Engineering & Construction, Telkom Wholesale Services, Tesco Corporation, Tetra Pak Egypt Ltd, Visa International 

 

" Of all the sections of BMI's Business Forecast Report it is the Key Economic Sectors that is the most valuable. It gives me a clear idea about where the country is going & where I need to focus my attention for future sales. "
Business Intelligence Manager, Schneider Electric KSA, Saudi Arabia.

BMI's Executive Summary for South Africa

[TOP]

Another Good Year Ahead

With political stability and sound macroeconomic fundamentals helping to attract foreign investors, Saudi Arabia is taking full advantage of its abundant oil reserves. However, in the future the Kingdom looks set to face a number of challenges in both the economic and political sphere. The government needs to continue to develop the private sector and reduce dependence on oil – in order to ensure long-term economic growth – and address the growing unemployment issue, as the problem could potentially harm political stability and economic progress.

In the political arena Saudi Arabia's domestic stability looks set to be tested by two key issues over the coming years: inflation and unemployment. The former, a problem that is being felt all over the Gulf-Co-operation Council (GCC) region, could become a key political issue – especially if the government's inactivity on the matter persists – and threaten social stability. Unemployment, on the other hand, is an ever more pressing problem, as over 60% of inhabitants are under 25. Going forward Saudi Arabia will need to continue its efforts to provide sustainable job opportunities for its growing population, or it could face further demands for political representation and democratic reform.

Oil continues to be the basis of Saudi Arabia's economy, contributing to strong growth rates – which are forecast to remain above 3.5% over the forecast period – and healthy current account and budget surpluses. However, with oil production growth slowing, and continued high oil prices in no way certain over the longer term, diversification away from the commodity is vital. On the plus side, Saudi Arabia is starting to reduce its dependence on oil – the first of six economic cities in the Kingdom has already been finished – and a number of new industries, such as construction and finance, are already growing rapidly. However, Saudi Arabia will need to continue its efforts to develop the non-oil sector to create a diverse and modern economy.

Although Saudi Arabia continues to benefit from both portfolio and foreign direct investment, there are a number of challenges in the business environment that still need to be overcome. Bureaucracy and red tape – the Kingdom currently scores 38.1 in the starting and closing a business category of our ratings – will continue to hamper the development of an efficient and modern private sector, with investor protection also a massive problem: the Kingdom only scores 19.5 in this category. Indeed, to compete with the other GCC states Saudi Arabia will need to continue to improve its business environment to further increase inward investment.

Read about our other Business Forecast Reports  

Asia

Australia, Bangladesh, China, Hong Kong, India, Indonesia, Malaysia, Pakistan, Philippines, Singapore, South Korea, Sri Lanka, Taiwan, Thailand, Vietnam

Europe

Bosnia & Herzegovina, Bulgaria, Caucasus, Croatia, Cyprus, Czech Republic, Estonia, Greece, Hungary, Kazakhstan & Central Asia, Latvia, Lithuania, Macedonia, Poland, Romania, Russia, Serbia, Slovakia, Slovenia, Turkey, Ukraine

Middle East

Bahrain, Iran, Iraq, Israel, Jordan, Lebanon & Syria, Kuwait, Oman & Yemen, Qatar, Saudi Arabia, UAE

Africa

Angola, Botswana, Cameroon, Cote d'Ivoire, Egypt, Ethiopia, Francophone West Africa, Ghana, Kenya, Mozambique, Namibia, Nigeria, North Africa, South Africa, Sudan, Tanzania, Uganda, Zambia, Zimbabwe

North & South America

Argentina, Brazil, Chile, Colombia, East Caribbean, Mexico, Peru, Trinidad & Tobago, Venezuela, West Caribbean

 

Business Monitor International

Business Monitor International
A Market Leader in Country Risk, Industry Intelligence and Company Research

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BUSINESS MONITOR INTERNATIONAL's country risk analysis and forecasts, market research on leading industries, and multinational company research is relied upon by corporates, banks, government departments and multilateral organisations in over 125 countries around the world.

Country Risk Analysis and Forecasts
BMI
has for 25 years specialised in political risk analysis, financial markets analysis, and macroeconomic forecasts on 175 global markets.

Industry Intelligence and Market Research
BMI's industry research covers Automotives; Banking; Chemicals; Defence & Security; Food & Drink; Freight Transport; Information Technology; Infrastructure; Insurance; Mining; Oil & Gas; Petrochemicals; Pharmaceuticals & Healthcare; Power; Telecommunications, and Tourism.

Company Research
BMI maintains a fully-researched 55,000-site database of multinational company subsidiaries located across global markets.