Global economic turmoil have a very minimal impact on Saudi Arabia’s economy given its dependence on foreign bank financing, said the CEO of Deutsche Securities Saudi Arabia.
“However, the impact is significant on other countries in the Gulf where foreign lenders are major contributors to project and corporate finance transactions,” Jamal Al-Kishi was quoted as saying by Arab News.
Some fundamental reforms including those in the legal and regulatory systems governing business, intellectual property and investor rights, are critical, he said, according to the news report.
“Foreign ownership rules will have to be relaxed further. We will have to modernize our labor laws and institute effective incentives for the private sector to train and retain Saudi nationals. We will also have to make it easier for foreign investors and professionals to travel into and establish residence in the country,” he said.
“We need access to technology, know-how and best practice. One of the best ways to ensure that those are brought into the country is to get foreign capital flowing into the country. If foreign capital is there in the country, the investors will have genuine interest in achieving success,” Al-Kishi added.