The Middle East

While international brand penetration is increasing, Saudi Arabia’s vast potential for retail has yet to be fully realised. A combination of favourable demographics, rising incomes, and strong consumer confidence and appetite make the country one of the most promising growth markets for retail globally. Although the local industry has a challenging operating environment and unique social dynamics...

Following two years of double-digit industrial growth in 2010 and 2011, non-oil output rose by 4.9% in 2012 and 4.7% in 2013. The Kingdom may still have a negative trade balance for industry – with exports of $35.08bn and imports of $103.35bn in 2012 – but with access to raw materials set to expand, foreign investors are showing interest in lighter segments. With the government making room for...

Faced with increasing consumer demand, the water and power sector is receiving a $37.5bn injection of state funding in 2014. These projects, chiefly in power generation, will be accompanied by a restructuring of the mostly state-owned power company that accounts for 85% of public supply. Electricity subsidies remain in place, with consumer prices near production costs, making them well below...

Already the world’s largest oil producer and second-largest repository of reserves, Saudi Arabia is now looking to boost output of natural gas, including through deep-water and unconventional exploration, as well as to increase refining output. Total oil production in 2013 was 11.53m barrels a day, down 1.1% on 2012’s record levels, but still amounting to 13.1% of global output. This chapter...

Home to the world’s largest conventional oil field, and Saudi Arabia’s largest province by size, the Eastern Province is responsible for much of the Kingdom’s oil production. It is the most important centre for heavy industry in the country and home to the world’s biggest petrochemicals cluster at Jubail, which is currently in the midst of a major expansion. Other large-scale projects at Ras Al...

The results of efforts to address decades of rapid unplanned growth in Saudi Arabia’s second-largest city are beginning to become clear as transportation plans advance and major development projects get under way. With a focus on public- private partnerships, affordable housing and the redevelopment of large parts of the city, and a number of mega-projects and a $12bn integrated urban transport...