George Richani-CEO-Al Ahli Bank of Kuwait

Entrepreneurial environment: Government efforts signal encouragement for stand-alone private initiatives

Given the size and breadth of the Saudi Arabian economy it is at first glance surprising that the government continues to play the leading role in supporting local start-ups and entrepreneurs. Where other countries in MENA, such as Egypt and Jordan, have seen the private sector address the segment through angel and seed investment operations, initiatives of this kind have only recently emerged in the Kingdom. This is partly a result of Saudi Arabia’s economic strengths in other areas: the easy returns arising from the

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Azzan Al Busaidi-CEO-Public Authority for Investment Promotion and Export Development (Ithraa)

Ready to go: Attracting foreign investment with purpose-built industrial cities

In its drive to diversify its industrial base and attract inward investment into the Kingdom, Saudi Arabia offers commercial land at significantly discounted rates in zones known as industrial cities. Although there is no prohibition on the construction of made-to-measure factories by businesses moving to one of these industrial cities, there are off-the-peg, ready-made units for light industrial purposes in most parts of the country. MODON The Saudi Industrial Property Authority ( MODON) was established in 2001 and tasked with establishing, developing and operating industrial cities to ensure the availability of commercial space with integrated services and facilities to meet the needs and requirements of

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Sheikh Ahmad Duaij Jaber Al Sabah-Chairman-Commercial Bank of Kuwait

Restoration efforts: Successful bio-mediation projects are being reproduced

The population expansion that has taken place in Saudi Arabia in the last 50 years has not been without consequences for the environment, particularly in urban areas, and the country is now rehabilitating its cities. Local and international teams of engineers, ecologists and architects are working with government agencies, which in turn are attempting to attract investment in sustainable rehabilitation projects. Wadi Hanifah The most high-profile scheme to have taken place saw one of the capital city’s main water courses transformed from a sewer into a clean, green ribbon of riverside parkland that has become a treasured civic amenity. The Arriyadh Development Authority (ADA) worked

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Nhon Luc Ly-CEO-AIA Myanmar; Son Nguyen-Country President-Chubb Life Insurance Myanmar; Daw Zarchi Tin-CEO

Water from waste: Efforts to reuse urban wastewater for irrigation are under way

During the Kingdom’s rapid process of urbanisation, the condition of Saudi Arabia’s natural waterways deteriorated. The wadis that first attracted settlers to Riyadh were neglected and their waters rendered undrinkable. These were replaced by desalinated water produced hundreds of kilometres away on the east coast. In Jeddah, flash floods claimed 123 lives in 2009 and struck the city once again in 2011. In recent years there has also been a resurgence of interest in the restoration of the natural wadis and waterways beneath the Kingdom’s cities and a growing appetite for more efficient treatment and reuse of wastewater. Flood Prevention Jeddah responded to the flooding

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Peter Wong-Deputy Chairman and Chief Executive-HSBC

Going digital: Efforts to digitise services under the government’s e-health initiative are expected to boost efficiency and patient satisfaction

As part of efforts to make health care spending more efficient, the government is forging ahead with a number of digitisation initiatives under the banner of its electronic health, or e-health, programme. The need for such a strategy has been precipitated by a “perfect storm demanding continued transformation in health care”, according to Munir Ismet, HP’s head of cloud business for public sector, health care and education in Europe, the Middle East and Africa, speaking at the Fifth Saudi eHealth Conference in November 2014. He

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Emmanuel Macron-President of France

Keeping it local: Despite foreign competition, the market share of local pharmaceuticals manufacturers has increased

Over the past decade, Saudi Arabia has successfully promoted the development of local pharmaceuticals manufacturing, with their share of the market rising from 14% to 18% between 2008 and 2012. Many of these companies started as sole importers and distributors of pharmaceuticals, and went on to develop their capabilities, in some cases by forming partnerships and joint ventures with global and regional firms. Most local pharmaceuticals firms remain focused on producing generics, but some are also involved in contract manufacturing on behalf of international firms.

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Mark Geilenkirchen-CEO-Port of Sohar

Those who can: Increased investment in medical education and training should help to boost Saudiisation of the sector workforce

The rapid expansion of the health care system in Saudi Arabia has increased demand for health workers, from doctors and nurses to hospital administrators and pharmacists. As part of the Kingdom’s ongoing transformation into a knowledge-based economy, and with a view towards the sector’s long-term sustainability, the government is investing heavily in medical education and training for nationals. These efforts are already yielding results in terms of raising the proportion of Saudis working in the health sector, though there are parts of the system –

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Sheikh Ahmad Duaij Jaber Al Sabah-Chairman-Commercial Bank of Kuwait

Planning for the future: Tourism authorities look to improve standards and build capacity

Despite playing host to a plethora of natural and cultural attractions, the Kingdom’s tourism sector remains relatively under-developed and is largely limited to the religious pilgrim market centred on Makkah and Medina. The legacy of this under-development is particularly felt in the regulation of the sector. The Kingdom’s regulatory body, the Saudi Commission for Tourism and Antiquities (SCTA), was established as recently as 2000. Moreover, for the first 15 years of its existence the SCTA has been working within a legislative framework from 1975 (the Royal Decree on Hotel Regulations). New Legislation Although the SCTA has made significant advances over the past decade in terms

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Nhon Luc Ly-CEO-AIA Myanmar; Son Nguyen-Country President-Chubb Life Insurance Myanmar; Daw Zarchi Tin-CEO

Untapped potential: Investors hope new destinations will help grow the domestic market

Domestic tourism in Saudi Arabia has enjoyed something of a surge in recent years, with spending rising from SR59bn ($15.7bn) in 2010 to SR103bn ($27.5bn) in 2014 – representing compound annual growth of 15%. Yet, taken on an individual basis, Saudis continue to spend significantly less per domestic trip than they do when travelling abroad: excluding transport costs, Saudis on average spend SR3631 ($968) per foreign trip, compared with SR1896 ($505) on leisure trips at home, according to statistics from the Saudi Commission for Tourism and Antiquities (SCTA). Private polling indicates Saudi spending on foreign tourism is higher. According to a study by consultancy firm

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Nhon Luc Ly-CEO-AIA Myanmar; Son Nguyen-Country President-Chubb Life Insurance Myanmar; Daw Zarchi Tin-CEO

Agreeing to disagree: Dispute resolution and enforcement of foreign judgements and arbitral awards

Parties doing business in Saudi Arabia often select binding arbitration in the Kingdom, a preferred neutral foreign jurisdiction or another GCC state as the method for dispute resolution. In 2012 an arbitration law was enacted in Saudi Arabia confirming the right of parties to agree to settle their disputes through arbitration if the dispute is one in which conciliation would be permitted. Awards issued pursuant to the Arbitration Law are binding and enforceable through the competent authorities. Generally, the Board of Grievances (BoG) has jurisdiction with respect to the enforcement of foreign judgments and arbitral awards in Saudi Arabia. Foreign Judgements To enforce a foreign

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