...ECONOMICS II THE ACCESSION OF SAUDI ARABIA TO THE WTO ANALYSING THE FUTURE CHALLENGES SUBMITTED BY: AKANKSHA PRAKASH I.D.NO.: 1785 IIND YEAR B.A.LL.B. {HONS.} TABLE OF CONTENTS RESEARCH METHODOLOGY___________________________________________________________2 INTRODUCTION_________________________________________________________________________3 THE ACCESSION OF SAUDI ARABIA TO THE WTO: AN ANALYSIS OF THE FUTURE CHALLENGES____________________________________________________________________________4 • Objectives________________________________________________________________________4 Diversification of the economy______________________________________4 Development of modern infrastructure________________________________4 Access to Foreign Direct Investment (FDI) and modern technologies________4 Enhancement of purchase power of the population_______________________4 Employment Generation___________________________________________5 Maximization of competitive advantage in petrochemicals________________5 Open Access to international Market__________________________________5 Open Access to international Market__________________________________6 Integration of Saudi Arabia’s economy with the global economy____________6 • Reforms__________________________________________________________________________6 Foreign Investment_______________________________________________7 Trade in Goods___________________________________________________8 ...
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...has grown from a small freight company to one of the leading global providing financial and travel services. AMEX is committed to maximizing services to its customers, based on trust, integrity, security and high quality. AMEX continues to be a remunerative and powerful finances brand within the global economic realm. Saudi Arabia has a rapidly growing economy which is attracting foreign investors. The country has a strong, efficient and competitive domestic industry. In 2012 the country GDP rose by 6%. The Middle East country is one the most stable countries in the region despite the political turmoil that has been experienced in neighboring regions The Kingdom, as it is called, has established itself as one of the top 25 largest economic powerhouses in both the Middle East and Northern Africa. In addition, the Saudi Arabia Kingdom is among the fastest growing countries. The country has transformed its transport system and infrastructure. With the Saudi Stock Exchange (Tadawul) being the biggest in the Gulf region, AMEX has assisted in turning it into a luxury power player within its respective continent. Despite the many investment opportunities, Saudi Arabia has some setbacks that may prove to be a stumbling block within the country. First, the inadequate legal framework in resolving commercial disputes makes it nearly impossible for other financial players to follow in the steps of AMEX. This makes transparency in applying intellectual property legislation lacking. The aspect...
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...ISLAMIC BANKING SYSTEM & PRODUCTS Name Course Instructor Institution Date Islamic banking Introduction Over the past decades, Islamic banking has expanded into a distinctive and fast growing competitive substitute to conventional banking in many countries. Despite the rapid expansion of the Islamic banking system in recent years, little is however understood of how it differs from conventional banking systems, especially in the non Muslim world. Although Islamic banking works in accordance with the Islamic laws (shariah), in other countries, they are allowed to operate incomparably with the conventional banks that are interest based. The desire of Muslim communities to reorganize their social economic activities, and revival of financial institutions such as Zakah on an interest free basis can be said to be the main drivers to the development of Islamic baking over the past (Wilson, 1994: 110). Nevertheless, Islamic banking is not a religious product as it may insinuate, but it can rather be understood as a series of growing financial products that are developed with the aim of meeting the requirements of Islamic culture and its people (Sole, J. A., 2007: 6). Thus theses systems have developed so as to enable Muslims to invest savings and equally raise finance without compromising their religious and ethical practices. In order to comprehend the fundamental principles of operation of the Islamic banking system, it is thus necessary to understand what it is. There is...
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...countries: UAE, Oman, Saudi Arabia, Kuwait, Bahrain and Qatar; have been mainly dependent on oil and petroleum trading. Although finance in the GCC has grown to be a vibrant industry, but the GCC financial markets remain small and behind their potential globally. Since the beginning of the last decade, the GCC tried changing the strategy and going more into the financial markets. In the past five years, this strategy went to partially fall apart. The global financial crisis affected the finance business dramatically and the Gulf region did not handle it that well. Although the global view to the GCC financing has not been positive, but the GCC has been working and trying with all their efforts to develop their market and move forward. Saudi Arabia Stock Exchange, Tadawul ( TASI ), came along in the mid 1930's but remained informal until the early 1980's when the government formed a regulated market for trading with the required systems and techniques. It lists 159 publicly traded companies ( as of September 2, 2012). There are 15 sectors in the Saudi market which are: Banks & Financial services, Petrochemical Industries, Cement, Retail, Energy & Utilities, Agriculture & Food Industries, Telecommunication & Information Technology, Insurance, Multi-Investment, Industrial Investment, Building & Construction, Real estate & Property Development, Transport, Media & Publishing and Hotel & Tourism. The highest ranking sector of the Saudi Arabia Stock Market is the Banking &...
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...Employment & Salary Trends in the Gulf 1 Executive Summary Despite the slump in oil prices and conflicts in neighbouring countries, the Gulf region continues to enjoy a stable pace of economic growth, with most firms maintaining employment levels or increasing headcount. Most governments have so far used their large reserves to keep spending and investment plans at previous levels. from absorbing this pool of talent. Pay rises across the region averaged 6.7% in 2014, the highest average increase since the financial crisis, and are projected to accelerate further in 2015 to 6.9%. This is driven by the competition for talent and rising cost of living and, in the case of Oman, increasing unionisation The impact of the oil price fall has so far been of the workforce. At the same time, the strength limited to firms in the oil and gas sector, some of the US dollar, to which most Gulf currencies of which have been downsizing. There has also are pegged, is helping make Gulf salaries more been some slowdown in Bahrain and Oman, attractive for expatriates, reducing upward the countries with lower cash reserves where pressure on wages. governments have started to reduce their investment on infrastructure projects. The UAE, and particularly Dubai, remain the region’s most popular destinations for expatriates. Across the region, the fastest growing sector is Qatar ranks second in popularity with newcomers, healthcare, driven...
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...UNITED ABRAB EMIRATES PEST ANALYSIS: POLITICAL: The stable political situation of UAE enough to attract almost any major financial institution that needs to invest. These financial institutions can assist in accessing capital markets emerging within the UAE economy. the banking system developed my emirates is a relationship based system of banking with the monetary policy and system capable enough to fulfill funding supplies of a later stage that may be equity leasing or loans (John, 2010). ECONOMIC: Out of three million population of UAE 60% of them are in the workforce. In the UAE economy the level of FDI is very high. Globalization has helped improve the UAE economy greatly by bringing in thousands of workers, services and products from throughout the world. UAE has been a member of World Bank, WTO and IMF for seven years. The country has huge wealth and has experienced trade surplus of approximately over 100 billion dirham in the past year (Tomlinson, 2010). SOCIAL: All of UAE citizens have high living standard, a western lifestyle and continues rising financial positions. The society remains free and open to all types of restaurants, tourism, sport and recreational activities. The multicultural nature of society and economy existing in UAE allows fir many of the foreigners to work there in well paid positions (Cateora and Graham, 2007). TECHNOLOGICAL: The UAE population comprise of young and extremely technologically knowledgeable professionals. The IT industry...
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...Redefining Saudi Arabia’s Dependence on Oil Sameer Ibrahim DeVry University Redefining Saudi Arabia’s Dependence on Oil Instability in the Middle East and the current decline in oil prices have forced oil-led countries to reevaluate their economic models. Saudi Arabia has seemingly enjoyed long periods of prosperity, but it has come with costs both hidden and obvious. Economic terms such as “resource curse,” and “Dutch disease,” are generally applied to the economic reality Saudi Arabia faces, but a central question emerges: which is the best way forward for one of the United States most consistent Middle East partners to assure Saudi Arabia’s economic viability? Five scholarly journals are examined and policy prescriptions are discussed: Karl (2007) suggests prosecuting corruption; Ross (2001) suggests reforming governmental policies that hinder efficiency; Hamid (2014) suggests promoting gender equity in financial transactions, as well as promoting tourism and agriculture; Gylfason (2001) suggests advancing education reforms; and Hausmann and Rigobon (2002) suggest diversification of Saudi Arabia’s national economy. Of the Middle Eastern countries that export oil around the world, no country has a more paradoxical relationship with its primary economic resource than Saudi Arabia. Many westerners I have met presume, based on its economic history during the 20th century, that Saudi Arabia is a rich country, of virtually unlimited resources, with very few internal...
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...7 4.2 External Interactions 8 Saudi Arabian chambers of commerce 8 Customers 8 5.0 Nature and evaluation of interdependencies 8 6.0 Recommendations 11 7.0 References 12 1.0 Introduction The role of managers nowadays has evolved greatly over the past years and it has changed significantly in different industries. One thing that remains the same is that managers are always held responsible by their supervisors, to make sure the employees achieve their objectives with expectations. The key to a success and profitable business are neither the systems nor the strategies of the firm. It is the character and skill of individual managers, who practice what they preach are what counts, that is why hiring the right manager is essential in supervising and managing the overall performance of staff in their department (Robbins, 2001). ‘People in the organisation are your most important asset’ is an incorrect statement; because I believe the right people are the organisation’s most important asset. Therefore, companies should hire based on the correct individual’s attitude and behaviour for the company, then train and develop those who deem to have potential. 2.0 Organizational Background – Al-Rajhi Bank Al-Rajhi Bank is the world’s largest Islamic bank and is one of the largest joint stock companies in Saudi Arabia. Al-Rajhi Bank is a huge contributor in the investments of Saudi Arabia business world. The bank offers a wide range of banking and investment services all within...
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...7 4.2 External Interactions 8 Saudi Arabian chambers of commerce 8 Customers 8 5.0 Nature and evaluation of interdependencies 8 6.0 Recommendations 11 7.0 References 12 1.0 Introduction The role of managers nowadays has evolved greatly over the past years and it has changed significantly in different industries. One thing that remains the same is that managers are always held responsible by their supervisors, to make sure the employees achieve their objectives with expectations. The key to a success and profitable business are neither the systems nor the strategies of the firm. It is the character and skill of individual managers, who practice what they preach are what counts, that is why hiring the right manager is essential in supervising and managing the overall performance of staff in their department (Robbins, 2001). ‘People in the organisation are your most important asset’ is an incorrect statement; because I believe the right people are the organisation’s most important asset. Therefore, companies should hire based on the correct individual’s attitude and behaviour for the company, then train and develop those who deem to have potential. 2.0 Organizational Background – Al-Rajhi Bank Al-Rajhi Bank is the world’s largest Islamic bank and is one of the largest joint stock companies in Saudi Arabia. Al-Rajhi Bank is a huge contributor in the investments of Saudi Arabia business world. The bank offers a wide range of banking and investment services all within...
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...Global Financial Crisis: impacts, solutions and predictions in GCC countries. Since the end of 2007 and the beginning of 2008, the world has been suffering from the global financial crisis. It is believed to be the worst financial crisis in 60 years at least since the Great Depression in 1930s, due to the speed, scope, and scale of its impact. The huge difference distinguishes the contemporary crisis from the others is that the other crises were concerned with economic inflation and the current one is concerned with economic deflation. The global financial crisis has started in America, then crossed the Atlantic before going global. It began in the mortgage markets of the United States and erupted through financial markets (Savona, Kirton, Oldani 3). Many factors have contributed to the economy's recession, where signs of housing bubble problem were seen at the end of 2007. Caused by low interest rates beginning on January 3, 2001, and ignored by regulatory agencies, Americans borrowed excessively for home mortgages and this phase lasted to 2004. After that, from June 30, 2004, interest rates started to rise which led to the mortgage being unbearable and eventually subprime. This phase was marked by the increasing foreclosures and it extended from 2005 to 2007. This lead us to the conclusion that global financial crisis occurred due to easy monetary policies along with tax cuts and to failure of regulatory arrangements (Desai 1-3). This was the origin of the global financial...
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...\ Transformationa lLe a de rship a S tudy of BankingS e c tor in S a udi A ra bia Abstract This is a study of Transformational Leadership and its relationship with job satisfaction & rganizational commitment o among the employees of banking sector. This study was carried out in Jeddah, commercial city of Kingdome of Saudi Arabia. The a research concentrated on four commercial banks that re Al Bilad a Bank, AL Rajhi Bank, Riyad Bank and SABB. 300 questionnaires were circulated to employees of anks operating in Jeddah. Full-time bank b employees mostly working as trainee officers were our targeted p opulation. The questionnaire consisted of 38 items, divided into four categories; transformational eadership, overall job satisfaction, l organizational commitment and turnover intentions. Primary resources ere used for collecting data in order to carry out research w work. Multifactor leadership questionnaire eveloped by Bruce d &Avolio (2009) was used to measure the respondents’ perception about the transformational eadership. l By: Ayman Ali Al-Motawa Student Number: 1500140 Bus 633 Presented to: Dr-Asif Salam Transformational Leadership A Study of Banking Sector in Saudi Arabia Dr. Adil Zia H I. Introduction Uman resource is an important and indispensable factor for every organization. It is important to run an organization smoothly, effectively and efficiently (Mosadragh, 2013). Every success of an organization ...
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...The consequences of the Egyptian and Tunisian Revolution Inspired by the successful revolution in Tunisia, the Egyptian Revolution started on January. Thousands of people demonstrated in the streets to protest against poverty, rampant unemployment, government corruption and autocratic governance of President Hosni Mubarak. After 18 days of protest, President Mubarak resigned. After the turmoil in Egypt, a question still remains: do we have to fear some impacts on the global economy? Is there a threat for the rest of the world? To answer to these questions, it is important to keep in mind the different arguments. Even if Egypt is not well integrated into the international financial system and Cairo is not a significant financial hub, the Egyptian Revolution can have major economic and financial implications. Although the country is not a major oil producer, the main way Egypt can impact the global economy is through oil. It is interesting to see that oil markets overreacted to the Egyptian uprising. Oil prices have risen around $100 U.S. per barrel. First with the Suez Canal which runs through Egypt, the country plays a key role for transporting oil from the Persian Gulf to Europe and elsewhere. The Egyptian crisis could create some disruptions in the operation of the canal and that might cause a rise in oil prices. That could have negative effects for oil-importing countries and bring inflationary pressures. After the 2008 crisis, the world has been weakened. Today, it...
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...22 which came into effect after thirty days of its issue. The Public companies were informed to classify their accounts according to the International Financial Reporting Standards. (IFRS, 2011) Egypt The companies in Egypt were monitored by the IFRS until the Capital Market Law passed in 1992 which obliged all the registered companies to follow Egyptian Accounting Standards set by ministry of Finance. The Central Bank made it mandatory for all the Banks to follow the EAS.However, as per the current report, the Egyptian companies are known to be adopting IFR standards. (IFRS, 2011) Saudi Arabia Saudi Arabia follows the strict regulation of Islamic law known as sharia. However In 2007 Saudi Arabian Monetary agency joined the technical committee of the International Financial Standard board in order to improve the its accounting standards. The following year all the companies registered under Saudi...
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...Name: Course: Tutor: Date: International Management The Oil Industry The world is changing with the changes brought about by the emerging technologies. Business environment has totally changed due to globalization. Firms are operating in a highly unpredictable environment. It is difficult to determine what the future market would bring. Firms are left guessing what the emerging technologies would bring in the future market. This has forced firms trying to develop mechanisms through which the market forces can be managed in a way that would ensure a successful operation. The oil industry is one of the leading industries in the world. Business has been very good globally. This product is consumed in all parts of the world. The product has experienced a consistent increase in the international prices for the last twenty years. All industries in any given country depend on oil for the operations. The price of oil would have an impact on all other sector of the economy. This has seen this product considered very precious. The countries that produce oil have formed an organization that would help protect this industry in the world. OPEC (Organization of Petroleum Exporting Countries) was formed as a way of ensuring that oil-producing country got maximum benefit from this product. This has made business environment for this product very favorable. This organization protects the rights of all member states in the international market. This has helped stabilize the international...
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...Facing Saudi Arabia Saudi Arabia is a developing country in the Arabian Gulf region that has been growing dramatically over the past two decades. Saudi Arabia's 2011 population has grown tremendously and is estimated to now be about 26.1 million, including about 5.6 million resident foreigners. Until the 1960s, most of the population was nomadic or semi-nomadic but now due to rapid economic and urban growth, more than 95% of the population is settled now. Out of that 26 million people in Saudi Arabia, is has been found that the annual per capita income is anywhere from $11,500 to 24,500. This sounds kind of ridiculous because the country is known to the world to be oil rich. At first glance, one would view economic statistical indicators and convey the fact Saudi Arabia is a developed nation. However, close analysis of political and social statistical indicators would suggest that their standard of living and individual freedoms are severely suppressed. Believe it or not, this 'developed' nation has abnormalities in its statistical indicators which are similar to those that characterize third world nations. As a person who was born into this culture and is originally of Saudi Arabian descent, I find these statistics hard to believe. During my time there I never witnessed despair or poverty. These indicators and information is why I chose to research this topic and see for myself what this once wealthy nation is in fact doing now. Economic Success Saudi Arabia was a...
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