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EIU Saudi Arabia

Overview

No fundamental threat to the rule of the Al Saud family is expected over the outlook period. Although the king, Abdullah bin Abdel-Aziz al-Saud, is relatively reform-minded, his primary concern will be to maintain the rule and unity of the royal family, as well as accommodating the concerns of clerics, which will constrain the extent of change. Some dissatisfaction with the rule of the Al Saud family will persist, centring on perceived corruption, the country's relations with the US and youth unemployment. Within the region, Saudi Arabia's increasing wealth will continue to bolster its position as a diplomatic heavyweight. Economic growth will remain robust in 2008-09, driven by strong government spending and foreign investment and an expected pick-up in oil output. Continued high oil prices will also generate large current-account and fiscal surpluses. Inflation will remain low by regional standards, mitigating pressure for a revaluation of the Saudi riyal's peg to the US dollar.

Key Reports Available for Saudi Arabia
  • Country Report
  • Country Profile
  • Country Forecast
  • Country Finance
  • Country Commerce
  • Country Risk Service
  • Basic Data

    Land area
    2.15m sq km
    Population
    24.2m (2007, Saudi Arabian Monetary Agency)
    Key provinces
    Population in '000 (2004 census, Ministry of Economy and Planning
    Riyadh: 4,730
    Mecca: 5,449
    Eastern: 3,009
    Asir: 1,637
    Medina: 1,379
    Jizan: 1,083
    Qassim: 980
    Climate
    Hot and dry, milder in the winter months
    Hottest month: July, 26-42°C (average daily minimum and maximum); coldest month: January, 8-12°C; driest months: July, September, October, 0 mm average rainfall; wettest month: April, 25 mm average rainfall
    Language
    Arabic
    Measures
    Metric system
    Currency
    The Saudi riyal (SR)=20 qirsh=100 hallalas. The riyal is pegged to the US dollar at a rate of SR3.745:US$1
    Time
    3 hours ahead of GMT
    Fiscal year
    Calendar year
    Public holidays
    All Muslim holidays are observed in accordance with the lunar calendar. Saudi Arabia uses the Islamic or hijri calendar, based on the lunar year, which is about 11 days shorter than the Gregorian year. The weekend is Thursday-Friday.
    2008-09: The month of Ramadan (likely to run from August 22nd-September 21st 2009) is not a public holiday but significantly reduces the working day. Eid al-Fitr (marking the end of Ramadan—September 21st2009) and Eid al-Adha (Feast of the Sacrifice—November 28th 2009, the tenth day of the haj) are public holidays. The country's national day is 22nd September and is sometimes a public holiday. Travelling in the kingdom is particularly affected during the haj (pilgrimage) period, which lasts for about a month, Eid al-Adha, and the school summer holidays, which last until mid-September.
    SOURCE: Country Profile


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