How Saudi Arabia’s Nitaqat program benefits the youth

Coffee shops continue to sprout across Saudi Arabia as more and more young Saudis either put up their own businesses or work as baristas. (AN file photo)
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Updated 29 October 2021
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How Saudi Arabia’s Nitaqat program benefits the youth

  • Also known as Saudization, the program exceed its direct effects, such as financial security
  • The Human Capital Development Program, a 2030 Vision Realization Program, channels Saudization in a new and improved way

JEDDAH: The Saudization Program, officially referred to as Nitaqat, is a nationalization scheme aimed at decreasing Saudi unemployment rates whilst mobilizing human capital to its full potential. 

The program places qualified and skilled Saudis into work in relevant fields. Minister of Human Resources and Social Development Ahmed Al-Rajhi stated that by the end of 2021, it aims to create 213,000 jobs for Saudi citizens.

According to the General Authority of Statistics, the unemployment rate among Saudis decreased to 11.7 percent in the first quarter of 2021, compared to 12.6 percent by the end of 2020.

The program’s numbers indicate notable progress with a massive employment leap and workplace gender diversification. The umbrella strategy of the program is to counteract unemployment and negate its social effects that unnecessarily burden the Saudi citizen.

Social issues that can rise from unemployment include a widening inequality gap, creating division and status barriers between citizens.

“Unemployment causes stress, which ultimately has long-term physiological health effects and can have negative consequences for people’s mental health, including depression, anxiety and lower self-esteem. The relationship between mental health and unemployment is bi-directional. Good mental health is a key influence on employability, finding a job and remaining in that job,” said Dr. Moayyad Al-Salem, a consultant in psychiatry and psychosomatic medicine.

The benefits of Saudization exceed its direct effects, such as financial security. Being employed can have a positive effect on the individual, providing a sense of purpose, engagement with the world, and a chance to experience life through different lenses.

The impact of the program also reached individuals encouraged to delve into new markets. Saudi citizens, especially younger ones, are increasingly experimenting and creating new market places.

Twenty-year-old Saudi barista Radwan Abdulrahman Moumin told Arab News that due to the program, he was able to find his sense of purpose and follow a path that brings him personal joy, satisfaction and financial stability, turning his life around significantly. Moumin also said that the positive societal impact he and many others are witnessing is empowering and supporting Saudis getting an early start in the job market.

“Being a barista is fun, you’re always on the move, socializing and very popular nowadays. The whole coffee shop experience is interesting and keeps you on your toes, not to mention that I think it’s a healthy work environment that is very nurturing,” said Moumin.

The Human Capital Development Program, a 2030 Vision Realization Program, channels Saudization in a new and improved way. It was created to harness the endless capabilities of Saudi citizens, to prepare and support them to recognize and seize opportunities. The program also encourages them to participate in ongoing local social and cultural developments while also competing in the global labor market.

The HCDP aims at propagating Saudi 2030 Vision to nurture innovation by expanding vocational training, improving the readiness of young people to enter the labor market, and instilling national values.

From its initiation in 2011, Saudization has steadily implemented the necessary measures to nationalize a variety of vocations, and diversify their talent pools.

 


Saudi Arabia launches initiative to reroute Gulf cargo to Red Sea ports

Updated 7 sec ago
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Saudi Arabia launches initiative to reroute Gulf cargo to Red Sea ports

  • The initiative comes as shipping through the Strait of Hormuz has been severely disrupted by the widening conflict in the region
  • Since the US and Israel struck Iran last month, Tehran has moved to restrict passage through the waterway

 

RIYADH: Saudi Arabia has launched an initiative to redirect shipping from ports in the Arabian Gulf to its Red Sea ports amid the ongoing US-Israel-Iran war.

Transport Minister Saleh Al-Jasser, who also chairs the Saudi Ports Authority (Mawani), launched the Logistics Corridors Initiative alongside Zakat, Tax and Customs Authority Governor Suhail Abanmi, Mawani President Suliman Al-Mazroua, and other officials, the Saudi Press Agency reported.

The initiative will establish dedicated operational corridors to receive containers and cargo redirected from ports in the Kingdom's Eastern Region and other Gulf Cooperation Council states to Jeddah Islamic Port and other Red Sea coast ports.

Al-Jasser said the Kingdom was committed to ensuring supply-chain stability and the smooth flow of goods through global trade routes. Jeddah Islamic Port and other west coast ports, he added, were already playing a key role in accommodating shipments redirected from the east, while also linking Gulf cargo to regional and international markets.

The initiative comes as shipping through the Strait of Hormuz has been severely disrupted by the widening conflict in the region. Iran has long threatened to close the strait — the world's most critical oil and gas chokepoint, through which roughly a fifth of global oil supplies pass — in the event of a war.

Since the US and Israel struck Iran last month, Tehran has moved to restrict passage through the waterway, sending freight rates soaring and forcing shipping companies to seek alternative routes.

Saudi Arabia's Red Sea ports offer a viable bypass, connecting Gulf cargo to global markets without passing through the strait.