S&P: Saudi Women’s Workforce Boosts Growth Prospects

Female workforce participation rate in Saudi Arabia reached approximately 36% in 2022. (SPA)
Female workforce participation rate in Saudi Arabia reached approximately 36% in 2022. (SPA)
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S&P: Saudi Women’s Workforce Boosts Growth Prospects

Female workforce participation rate in Saudi Arabia reached approximately 36% in 2022. (SPA)
Female workforce participation rate in Saudi Arabia reached approximately 36% in 2022. (SPA)

The increasing participation of women in Saudi Arabia’s workforce is expected to boost the country’s economy by $39 billion, or 3.5%, by 2032, if the current rate of growth continues, according to S&P Global Ratings.

The agency noted in a report that labor market reforms had led to a rise in female workforce participation in the Kingdom to approximately 36 % in 2022, compared to 19 % in 2016.

“We calculate that increases in overall participation rate of just 1 percentage point per year (ppt) over the next 10 years would boost the country’s annual real GDP [gross domestic product] growth by an average of 0.3 ppt, to 2.4% per annum (versus 2.1%), assuming that labor force productivity growth for the next 10 years will look the same as the last 20 years,” S&P research analysts said in the report.

The increase in female representation in the labor force was spurred by expanding childcare and transport services, which added to new job opportunities in developing sectors such as tourism, leading to more women joining the labor market.

The agency also attributed the increase in women’s workforce participation to a higher level of education, in addition to several measures taken by the Saudi government.

Other measures introduced by Saudi Arabia to reduce the impediments to women joining the labor force include allowing them to drive, increasing remote and hybrid work arrangements, dropping the need for a male guardian to consent to a woman starting a business, and increasing the number of female jobs in the military, S&P said.

The report added that the key to economic growth in the Kingdom over the next decade lies in improving workforce productivity.

In order to replicate the success seen in East Asia, the Kingdom must work on enhancing workforce productivity through increased capital investment and human capital, said S&P.

The agency also noted that if policy reforms under Vision 2030 are successful, sustainable growth rates of 4-5% could be achieved, compared to the historical productivity-based growth rates of 2-3%.



Aramco Inaugurates Regional Center for Sustainable Fishery Development on Abu Ali Island

tthe inauguration of the regional center for sustainable fishery development, Arabian Gulf branch, was made in cooperation with the Ministry of Energy and the Ministry of Environment, Water and Agriculture. Aramco
tthe inauguration of the regional center for sustainable fishery development, Arabian Gulf branch, was made in cooperation with the Ministry of Energy and the Ministry of Environment, Water and Agriculture. Aramco
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Aramco Inaugurates Regional Center for Sustainable Fishery Development on Abu Ali Island

tthe inauguration of the regional center for sustainable fishery development, Arabian Gulf branch, was made in cooperation with the Ministry of Energy and the Ministry of Environment, Water and Agriculture. Aramco
tthe inauguration of the regional center for sustainable fishery development, Arabian Gulf branch, was made in cooperation with the Ministry of Energy and the Ministry of Environment, Water and Agriculture. Aramco

Saudi Aramco announced on Thursday the inauguration of the regional center for sustainable fishery development, Arabian Gulf branch, in cooperation with the Ministry of Energy and the Ministry of Environment, Water and Agriculture.

Through this collaboration, Saudi Aramco aims to highlight its investments in citizenship initiatives and its efforts to drive economic growth, support local fishermen and their livelihoods, build expertise, and adopt the best practices to enhance production and cultivate fish of marketable sizes that can compete globally.

The center is part of the company's broader efforts to protect marine life in the Arabian Gulf. It involves the establishment of a fish hatchery on Abu Ali Island in Jubail, located on the Arabian Gulf coast, designed to produce local fish species that have experienced population declines due to fishing practices and to reintroduce them into Gulf waters.

The center's operations are designed to encompass the complete fish life cycle within designated tanks, from broodstock for egg production to larval rearing using plankton produced on-site and finally to the release of juvenile fish into the Arabian Gulf. The hatchery employs advanced aquaculture technologies to ensure fish health, and it utilizes top-tier water recycling techniques to enhance performance and meet the company's circular economy objectives.

The project aligns with Saudi Aramco's mangrove plantation initiative, under which more than 43 million trees have been planted to date. Mangrove forests provide vital nursery habitats for the juvenile fish released into the Gulf, further supporting the sustainability of marine ecosystems.