The quest for economic diversification

Saudi Arabia has demonstrated strong growth in the midst of the falling global economy, and that growth can be attributed to more than just oil. Natural gas and tourism also have contributed to this boom, but it is unclear whether Saudi Arabia can generate enough jobs for its growing population.

Saudi Arabia is in the middle of a second year of strong growth despite the downturn in the global economy, and that growth is no longer solely based on oil. A more vibrant non-oil sector is developing, particularly natural gas, exploration for which should begin next year. Tourism is another area that the government would like to encourage, with substantial investment being put into the sector. However the main challenge remains generating enough jobs for Saudi Arabia’s growing population.

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