‘Future is bright for foreign investment in region’
RIYADH: The future is bright for foreign investments in the region as it pushes ahead with structural reforms to diversify the economy, the Crown Prince said yesterday.
His Royal Highness Prince Salman bin Hamad Al Khalifa, Crown Prince, Deputy Supreme Commander and First Deputy Premier, highlighted the pivotal role of Saudi Arabia in the Middle East.
He also outlined measures taken by Bahrain as part of its fiscal balance programme to achieve the country’s growth potential.
The Crown Prince was participating in a panel discussion alongside Saudi Crown Prince Mohammed bin Salman and Lebanese Prime Minister Saad Al Hariri at the Future Investment Initiative (FII) in Riyadh.
During the session, he thanked Saudi Arabia, the UAE and Kuwait for their support and belief in Bahrain’s economic journey.
The Crown Prince outlined Bahrain’s strong economic fundamentals, which have ensured the kingdom has never witnessed a year of negative growth, whilst noting the government’s recently-announced Fiscal Balance Programme will eliminate the country’s budget deficit by 2022.
Rebalancing efforts include a reduction in government operational expenditures, reform to the water and electricity framework, a new voluntary retirement scheme for government employees, and the introduction of VAT.
“The Fiscal Balance Programme allows us to structure our economy to be more ready and more capable of being sustainable well into the next decade,” the Crown Prince said.
He went on to highlight the need to move from an oil economy to a smart oil economy, noting that 86 years ago the region discovered a tremendous resource under the desert and with it built refineries, factories, schools and housing.
In this regard, the Crown Prince said, “We must give people the tools to succeed, so the lines that we build in the future are the lines of credit and support for start-ups and for businesses all over the region.
“The refineries that we build must be the incubators that house and allow great ideas and companies to be born.
“And the ports are the infrastructure and our connectivity to the world – whether that be physical or digital infrastructure.”
The Crown Prince outlined wide-ranging efforts that have been undertaken to develop the kingdom’s business environment, which have resulted in a 10-fold increase in foreign direct investment since 2015.
He also noted that any investment in Saudi Arabia also benefits the wider region.
The Crown Prince concluded by congratulating Saudi Arabia’s leadership on a successful FII event and wished the people of Saudi Arabia further prosperity under the leadership of Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud.
The Crown later ended his visit to Saudi Arabia, sending cables of thanks to King Salman and Crown Prince Mohammed bin Salman for their warm hospitality.
Finance Minister Shaikh Ahmed bin Mohammed Al Khalifa also attended the conference as part of the accompanying delegation to the Crown Prince.
The minister referred to FII as a demonstration of Saudi Arabia’s economic vision and commitment to fostering sustainable development and inclusive economic growth, while exploring different trends, opportunities and challenges that will shape the future of investment activities worldwide.
He noted that Bahrain’s participation underscores the deep-rooted and historic relations between the two countries.
Moreover, the event provides an excellent opportunity to demonstrate Bahrain’s ongoing efforts to accelerate development and growth through creating the appropriate environment for attracting investment, Shaikh Ahmed said.
“Bahrain will continue to support vital economic sectors, and enhance their contribution to the GDP through reshaping the role of the public sector as a regulator overseeing the overall aspects of the national economy, whereas the private sector acts as the engine of economic growth.”
l The Crown Prince extended his congratulations to Bahraini entrepreneurs who were announced among the top winners of the Pitch@Palace GCC 1.0, a platform to amplify and accelerate the work of entrepreneurs, with this year’s theme being “technology serving humans.”
Technology
Pitch@Palace GCC 1.0 featured 15 entrepreneurs from Bahrain, Saudi Arabia and the UAE. The two Bahraini winners, one of which was selected by audience vote and one via the People’s Choice Award, included OneGCC and Al Rawi.
The winners of Pitch@Palace GCC will go on to pitch for funding at a global final on December 12 at St James Palace, UK.
The Crown Prince also extended his thanks to the Duke of York for his friendship and support towards growing the region’s entrepreneurial sector.
For the record...
The Saudi Crown Prince, in an amusing aside near the end of his speech, referred to Lebanon’s Prime Minister Saad Hariri who took part in a question and answer session.
He told the audience that Hariri had said that he would like to take a couple of days rest in Saudi Arabia after the conference.
I hope that the foreign media don’t report that he has been kidnapped, joked a smiling Crown Prince.
