Saudi Arabia’s Unemployment Drops to Under 12%

Saudi unemployment rate drops in the last government survey for Q1 2020, Asharq Al-Awsat
Saudi unemployment rate drops in the last government survey for Q1 2020, Asharq Al-Awsat
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Saudi Arabia’s Unemployment Drops to Under 12%

Saudi unemployment rate drops in the last government survey for Q1 2020, Asharq Al-Awsat
Saudi unemployment rate drops in the last government survey for Q1 2020, Asharq Al-Awsat

The unemployment rate in Saudi Arabia fell marginally in the first quarter of the current fiscal year when compared to the fourth quarter of 2019, a General Authority for Statistics (GaStat) report has said.

It confirmed, however, that the data do not reflect the ramifications of the coronavirus pandemic.

It said the unemployment rate decreased from 12.0% to 11.8% during the mentioned period. At the same time, unemployment rate among females reached 28.2%, a drop of 2.6 percentage points.

The unemployment rate for men (aged 15 years and above) reached 5.6%, with an increase of 0.7 percentage points, the report said.

The labor force participation rate for the total population (aged 15 years and above) increased by 1.8 percentage points compared to Q1 of 2019, reaching 58.2%.

Labor force participation for men was 80.4%, while the rate of participation of women in the Labor force was 25.4%, data showed, according to the Saudi Press Agency (SPA).

The released data do not reflect the impact of the COVID-19 crisis as they were collected early in the first quarter. The total unemployment rate stood at 5.7% in Q1 this year.

Based on the administrative data, Saudi and non-Saudi employees amounted to 13.63 million individuals. The total number of Saudi employees (males and females) reached 3.2 million individuals, 2.06 million Saudi men and 1.13 Saudi females, the report said.

The participation rate in the labor force for Saudis (aged 15 years and above) fell by 0.5 percentage points to 46.2% compared to Q1 2020. The Saudi male participation rate in the labor force fell by 0.8 percentage points from the previous quarter, reaching 65.8%, while the Saudi female participation rate fell by 0.1 percentage points from the previous quarter, reaching 25.9%.



Gulf Stock Markets Slip Amid Escalating Iran-Israel Conflict and Fed Policy Uncertainty

Traders monitor stock information displayed on screens at the Qatar Stock Exchange. (Reuters)
Traders monitor stock information displayed on screens at the Qatar Stock Exchange. (Reuters)
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Gulf Stock Markets Slip Amid Escalating Iran-Israel Conflict and Fed Policy Uncertainty

Traders monitor stock information displayed on screens at the Qatar Stock Exchange. (Reuters)
Traders monitor stock information displayed on screens at the Qatar Stock Exchange. (Reuters)

Major stock markets across the Gulf declined on Tuesday, as heightened geopolitical tensions between Iran and Israel weighed on investor sentiment and fueled concerns over regional stability. Investors also remained on edge ahead of a key interest rate decision by the US Federal Reserve.

Reports from Iranian state media described a series of explosions and intense anti-aircraft fire lighting up the skies over Tehran. Simultaneously, air raid sirens sounded in Tel Aviv following a barrage of Iranian missile launches.

Amid the growing tensions, US President Donald Trump, speaking after departing early from the G7 summit in Canada, urged civilians to evacuate the Iranian capital.

At the same time, markets are closely watching developments in Washington, where the Federal Reserve is set to begin a two-day policy meeting. The central bank is widely expected to keep interest rates unchanged, but investors are eagerly awaiting signals from Chair Jerome Powell on the future path of monetary policy, particularly any indications of upcoming rate cuts to support a slowing global economy.

Against this backdrop, Gulf equity markets ended the day mixed. Saudi Arabia’s benchmark Tadawul All Share Index slipped 0.41%, while the Abu Dhabi Securities Exchange lost 0.51%. Dubai’s main index was down 0.64%.

Other markets followed suit. Qatar’s index dropped 0.51%, Muscat’s bourse fell 0.33%, and Egypt’s EGX 30 posted the largest regional decline, falling 1.02% amid heightened investor anxiety.

However, a few markets bucked the trend. Kuwait’s exchange rose 0.65%, while Bahrain’s index gained 0.30%, supported by selective buying and relative insulation from the geopolitical fallout.