Vision 2030: Why Saudi Arabia's reform changes make investors nervous
There’s concern as efficiency programme being revised
Dubai — Saudi Arabia’s government has assured investors that its Vision 2030 economic reform programme, including the sale of a stake in national oil giant Saudi Aramco, is on track despite plans to adjust parts of it. News last week that Riyadh is revising a section of Vision 2030 known as the National Transformation Programme (NTP) — an effort to make the government and society more modern and efficient — triggered speculation among foreign analysts that the whole reform drive might be in jeopardy. One analyst suggested the power of Crown Prince Mohammed bin Salman, in charge of economic policy, might be waning and that broad resistance to reforms might be building. Another speculated the Aramco sale could be delayed. Behind the unease is the fact that Vision 2030, launched in 2016, has so far done little to free the economy from dependence on oil exports. It has begun to shrink a big state budget deficit with austerity steps, but has not yet created major new sources of non-oil g...
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