In a pivotal era marked by remarkable advancements in the economic involvement of women in the Gulf, specifically in Saudi Arabia, Safaa El-Kogali, the World Bank's Country Director for the Gulf Cooperation Council (GCC) countries, underscores the pivotal role of implementing precise policies and programs.
These measures, she contends, are crucial for fostering and sustaining the escalating participation of women in the workforce.
“Firstly, there has been a shift in economic and financial expectations from previous reports,” said El-Kogali as she addressed the novel aspects of this year’s report on women’s employment.
“Secondly, the report includes a new section on women’s participation in the workforce, highlighting a noticeable increase in female participation in the labor force in GCC countries over the past decade,” she added.
However, according to El-Kogali, no country in the GCC or the wider Middle East and North Africa region has experienced such a rapid increase in such a short period as witnessed in Saudi Arabia.
The report delves into developments in Saudi Arabia, where female participation in the workforce more than doubled between 2017 and 2023, rising from 17.4% to 36%.
“It is crucial to note that this increase encompasses various age groups and educational levels, contributing to a decline in overall unemployment rates, particularly among Saudi women,” El-Kogali explained, adding that “the majority of jobs held by Saudi women were in the private sector and spanned across all sectors.”
Attributing the rise in women’s contribution in the Gulf, especially in Saudi Arabia, to three factors, El-Kogali emphasizes that social norms surrounding women’s workforce participation were ready for change due to shifts in societal attitudes, reinforced by the government’s strong commitment and a robust communication campaign regarding women’s economic empowerment.
Moreover, major legal reforms facilitated more women joining the workforce, with new programs promoting women’s employment paving the way for increased female participation.
Another factor, according to El-Kogali, is the structural economic changes that generated a necessary demand for labor from companies willing to hire women.
She noted that the coronavirus pandemic acted as a positive catalyst for the demand for female Saudi workers, creating a fundamental driver for rapid transformation.
On her expectations for the future increase in women’s contribution to the Saudi economy, El-Kogali said: “I am convinced that the changes we have witnessed in recent years are not temporary.”
“The shift is evident across all age groups – it's not just young Saudi women who are more willing to enter the workforce, but also their mothers,” she affirmed.
Highlighting that Saudi women predominantly turn to the private sector across various industries, El-Kogali emphasizes the importance of solidifying policies and programs to sustain the trend of increasing women’s participation in the workforce.
Regarding the necessary steps to maximize Saudi economic contribution, El-Kogali stressed that Saudi Arabia has made significant strides in achieving its goals over the past two years, implementing structural reforms as a testament to the government’s commitment and determination.
“The success achieved in rapidly increasing women’s participation in the workforce is just one example of what the Kingdom is doing, laying the groundwork for its desired goals,” said El-Kogali.
“Similarly, we observe a divergence between the oil and non-oil sectors in Saudi Arabia, with the oil sector contracting by 8.4%, while the latter expands by 4.3%, showcasing robust efforts in economic diversification,” she highlighted.
The Country Director also emphasized that current economic results in Saudi Arabia reflect the fruits of ongoing exceptional efforts within the diversification agenda aligned with the Kingdom’s national plan for transformation, “Vision 2030.”
El-Kogali underscored the importance of Saudi Arabia remaining committed to the path of reforms and diversification.