The Economy in the Kingdom of Saudi Arabia
Introduction
The economy in the Kingdom of Saudi Arabia is a powerful economy. According to the U.S. Energy Information Administration (EIA), “Saudi Arabia was the world 's largest producer and exporter of total petroleum liquids in 2012, the world 's largest holder of crude oil reserves, and the world 's second largest crude oil producer behind Russia” ("Overview," 2013).
The economy in the Kingdom of Saudi Arabia is built on several factors that have helped it to grow. It is also noted in the report, that Saudi Arabia has practically one-fifth of the world 's confirmed oil reserves (2013). This research will discuss the factors that help Saudi Arabia’s economy to increase. These factors are: foreign direct investments, tourism, oil export and reserve, and pilgrimages. This information is important to know how Saudi Arabia’s economy has developed recently.
Foreign Direct Investment
There are many reasons that make a foreign investor invest in the strategic sectors in which Saudi Arabia has high comparative advantages. Saudi Arabia represents the strategic location in the Middle East, which has almost 400 million people. Furthermore, The Kingdom of Saudi Arabia is the first biggest free economic market in the Arab country where it has one fourth (25%) of the Arab gross national product. Moreover, Saudi Arabia has mostly 26% of the world’s oil reserves, the biggest of any country, and offers energy to investment projects at the cheapest prices in the world, that makes the Kingdom of Saudi Arabia a perfect target for projects that depend on energy consumption ("Investment in Saudi,").
The Kingdom of Saudi Arabia was rated the 20th between the biggest twenty-five economies in the world and was rated at the first place in the Middle East. Also was rated at 13th between 183 countries in the world ranking for doing businesses and good locations and it has the first place in the easy registration of property ("Investment in Saudi,"). According to "Business
The economy in the Kingdom of Saudi Arabia is a powerful economy. According to the U.S. Energy Information Administration (EIA), “Saudi Arabia was the world 's largest producer and exporter of total petroleum liquids in 2012, the world 's largest holder of crude oil reserves, and the world 's second largest crude oil producer behind Russia” ("Overview," 2013).
The economy in the Kingdom of Saudi Arabia is built on several factors that have helped it to grow. It is also noted in the report, that Saudi Arabia has practically one-fifth of the world 's confirmed oil reserves (2013). This research will discuss the factors that help Saudi Arabia’s economy to increase. These factors are: foreign direct investments, tourism, oil export and reserve, and pilgrimages. This information is important to know how Saudi Arabia’s economy has developed recently.
Foreign Direct Investment
There are many reasons that make a foreign investor invest in the strategic sectors in which Saudi Arabia has high comparative advantages. Saudi Arabia represents the strategic location in the Middle East, which has almost 400 million people. Furthermore, The Kingdom of Saudi Arabia is the first biggest free economic market in the Arab country where it has one fourth (25%) of the Arab gross national product. Moreover, Saudi Arabia has mostly 26% of the world’s oil reserves, the biggest of any country, and offers energy to investment projects at the cheapest prices in the world, that makes the Kingdom of Saudi Arabia a perfect target for projects that depend on energy consumption ("Investment in Saudi,").
The Kingdom of Saudi Arabia was rated the 20th between the biggest twenty-five economies in the world and was rated at the first place in the Middle East. Also was rated at 13th between 183 countries in the world ranking for doing businesses and good locations and it has the first place in the easy registration of property ("Investment in Saudi,"). According to "Business
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