Economic Strength Seen in Saudi Arabia

Saudi Arabia is one of the main economies of the Middle East. For years, it has depended on oil reserves but now it has diversified its focus. 

Education, artificial intelligence and healthcare form the core of their vision 2030. I visited the country for a week recently and I have already seen rapid advancements since 2013. The high-speed rail linking Makkah, Jeddah and Madinah cuts the journey by half. The trains depart and arrive timely with a top speed of 196km/h. The journey is comfy, the stations are state of the art and tickets can easily be purchased. The humble Shawarma is now accompanied by Chinese, Indian, Malay, Mediterranean and Western cuisines.

Big brands in big malls have mushroomed. Uber and Careem have reduced unregulated pirate taxis. Paid medical care is efficient with prompt service and quality medication. Another strong draw is the assured millions of visitors coming for their pilgrimage. Supermarkets and department stores are full. It does lose its traditional value like other major cities. I miss the Makkah in 1999 during my first visit but I guess change is inevitable.

Torch brought 7 Saudi companies on a business matching trip to Malaysia and Indonesia. They are keen to do business and willing to negotiate but it will take some time to shake off certain stereotypes.

Personally, I would like to draw your attention to the consumer spending confidence stated in the report. This presents a strong opportunity for companies offering products and services that are unique and lacking in the region. Not all Saudis are rich but they have a middle class that can spend and are below 50 years old. 

Have a look at the report and PM me for coffee and see if your product or service is worth a shot in Saudi Arabia.

Reference: https://www.ipsos.com/en-sa/saudi-arabias-primary-consumer-sentiment-index-april-2019

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