Deputy crown prince: ‘Sky is the limit’ for Saudi society amid reforms

April 22, 2017

Jeddah, Apr 22: The “sky is the limit” for Saudi Arabian society if people are willing to embrace the change, the Kingdom’s Deputy Crown Prince Mohammed bin Salman has said.

princeIn a wide-ranging interview with American columnist David Ignatius, the deputy crown prince reflected on the ground-breaking changes presently taking place in the Kingdom under the Vision 2030 plan.

He told Ignatius that the crucial requirement for reform is public willingness to change a traditional society, saying the era of extreme religious conservatism is over.

“If the Saudi people are convinced, the sky is the limit,” he was quoted as saying.

David Ignatius, who was in the Kingdom this week as part of the press corps accompanying US Defense Secretary James Mattis, wrote about Saudi Arabia in an in-depth opinion article for The Washington Post.

The article drew heavily on his 90-minute conversation with Deputy Crown Prince Mohammed bin Salman.

“Two years into his campaign as change agent,” the deputy crown prince “appears to be gaining the confidence to push his agenda of economic and social reform,” Ignatius wrote.

“Change seems increasingly desired in this young, restless country,” he wrote. He quoted a recent poll which indicated that 85 percent of the public, if forced to choose, would support the government rather than religious authorities on policy matters.

The article also reveals that 77 percent of those surveyed supported the government’s Vision 2030 reform plan, and that 82 percent favored public music performances attended by men and women.

During the conversation with Ignatius, the deputy crown prince was optimistic about President Donald Trump; the prince described him as a president who will bring America back to the right track.

“Trump has not yet completed 100 days, and he has restored all the alliances of the US with its conventional allies,” Ignatius quotes the deputy crown prince as saying.

The article talks about the growing ties between Saudi Arabia and the US as evidenced in the discussions with Mattis during which the possibility of additional US support was discussed “if the Houthi insurgents in Yemen don’t agree to a UN-brokered settlement.”

The deputy crown prince favored a relationship of equals between Saudi Arabia and the US. “We have been influenced by you in the US a lot,” he told Ignatius. “Not because anybody exerted pressure on us — if anyone puts pressure on us, we go the other way. But if you put a movie in the cinema and I watch it, I will be influenced.” Without this cultural nudge, he said, “We would have ended up like North Korea.”

Explaining to Ignatius about why Saudi Arabia has been wooing Russia, the deputy crown prince said: “The main objective is not to have Russia place all its cards in the region behind Iran. (We have been) coordinating our oil policies (recently with Moscow) in what could be the most important economic deal for Russia in modern times.”

The deputy crown prince also talked about the pace of economic reforms, which he says “appear to be moving ahead slowly but steadily.”

The prince said that the budget deficit had been reduced; non-oil revenue increased 46 percent from 2014 to 2016 and is forecast to grow another 12 percent this year. Unemployment and housing remain problems, he said, and improvement in those areas is not likely until between 2019 and 2021.

Ignatius describes the deputy crown prince as “the instigator of (the) attempt to reimagine the Kingdom,” and observes that “unlike so many Saudi princes, he wasn’t educated in the West, which may have preserved the raw combative energy that is part of his appeal to young Saudis.”

According to the deputy crown prince, “extreme religious conservatism in Saudi Arabia is a relatively recent phenomenon, born in reaction to the 1979 Iranian revolution and the seizure of the Grand Mosque in Makkah by Sunni radicals later that year.”

“I’m young. Seventy percent of our citizens are young,” he told Ignatius. “We don’t want to waste our lives in this whirlpool that we were in for the past 30 years. We want to end this epoch now. We want, as the Saudi people, to enjoy the coming days, and concentrate on developing our society and developing ourselves as individuals and families while retaining our religion and customs. We will not continue to be in the post-’79 era,” he said. “That age is over.”

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News Network
May 1,2020

Dubai, May 1: Saudi Arabia has reported 1,344 new coronavirus cases in the last 24 hours, bringing the total number of infections in the country to 24,097, the Ministry of Health announced on Friday.

The ministry also announced 7 more deaths and 392 new recoveries, raising the total number of fatalities and recoveries to 169 and 3,55 respectively.

Out of the 1,344 new cases reported today, 282 were confirmed in Riyadh, 237 in Madinah, 207 in Makkah, 171 in Jubail and 124 in Jeddah in addition to 114 infections in Dammam.

Authorities continue to urge people to stay at home unless necessary despite having relaxed some restrictions and curfews at the start of Ramadan.

Citizens and residents are allowed to go out for necessary needs between 9 a.m. and 5 p.m. but must adhere to precautionary measures such as wearing a face mask and maintaining social distancing practices.

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Khaleej Times
May 27,2020

Dubai, May 27: As the authorities have taken steps to ease the Covid-19 restrictions to allow the people of Dubai to resume sporting activities from Wednesday, May 27, the Dubai Sports Council has answered your key questions.

Q&A

What are the age groups allowed to practice sports during this period?

From 12 years old to 60 years old.

Is it required to do the Coronavirus (Covid 19) medical test certificate before resuming physical activity?

Returning to the activity does not require a Coronavirus (Covid 19) test certificate.

Is it allowed for the elderly with chronic diseases to return to sports activities in fitness and yoga centers?

No, it is not allowed.

Is it allowed to use the shower cabins and bathrooms in fitness and yoga centers?

Shower cabins, saunas and jacuzzis are not allowed, while bathrooms are allowed, with sterilisation being emphasised after each use.

What sports can resume its activities?

All sports except water sports/swimming and that are practiced indoors and swimming pools.

What is the approved operational percentage within the sports facility?

A maximum 50% capacity

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News Network
July 1,2020

Riyadh, Jul 1: Saudis braced Wednesday for a tripling in value added tax, another unpopular austerity measure after the twin shocks of coronavirus and an oil price slump triggered the kingdom's worst economic decline in decades.

Retailers in the country reported a sharp uptick in sales this week of everything from gold and electronics to cars and building materials, as shoppers sought to stock up before VAT is raised to 15 percent.

The hike could stir public resentment as it weighs on household incomes, pushing up inflation and depressing consumer spending as the kingdom emerges from a three-month coronavirus lockdown.

"Cuts, cuts, cuts everywhere," a Saudi teacher in Riyadh told AFP, bemoaning vanishing subsidies as salaries remain stagnant.

"Air conditioner, television, electronic items," he said, rattling off a list of items he bought last week ahead of the VAT hike.

"I can't afford these things from Wednesday."

With its vast oil wealth funding the Arab world's biggest economy, the kingdom had for decades been able to fund massive spending with no taxes at all.

It only introduced VAT in 2018, as part of a push to reduce its dependence on crude revenues.

Then, seeking to shore up state finances battered by sliding oil prices and the coronavirus crisis, it announced in May that it would triple VAT and halt a cost-of-living monthly allowance to citizens.

The austerity push underscores how Saudi Arabia's once-lavish spending is becoming a thing of the past, with the erosion of the welfare system leaving a mostly young population to cope with reduced incomes and a lifestyle downgrade.

That could pile strain on a decades-old social contract whereby citizens were given generous subsidies and handouts in exchange for loyalty to the absolute monarchy.

The rising cost of living may prompt many to ask why state funds are being lavished on multi-billion-dollar projects and overseas assets, including the proposed purchase of English football club Newcastle United.

Shopping malls in the kingdom have drawn large crowds in recent days as retailers offered "pre-VAT sales" and discounts before the hike kicks in.

A gold shop in Riyadh told AFP it saw a 70 percent jump in sales in recent weeks, while a car dealership saw them tick up by 15 percent.

Once the new rate is in place, businesses are predicting depressed sales of everything from cars to cosmetics and home appliances.

Capital Economics forecast inflation will jump up to six percent year-on-year in July, from 1.1 percent in May, as a result.

"The government ended the country's lockdown (in June) and there are signs that economic activity has started to recover," Capital Economics said in a report.

"Nonetheless, we expect the recovery to be slow-going as fiscal austerity measures bite."

The kingdom also risks losing its edge against other Gulf states, including its principal ally the United Arab Emirates, which introduced VAT at the same time but has so far refrained from raising it beyond five percent.

"Saudi Arabia is taking massive risks with contractionary fiscal policies," said Tarek Fadlallah, chief executive officer of the Middle East unit of Nomura Asset Management.

But the kingdom has few choices as oil revenue declines.

Its finances have taken another blow as authorities massively scaled back this year's hajj pilgrimage, from 2.5 million pilgrims last year to around a thousand already inside the country, and suspended the lesser umrah because of coronavirus.

Together the rites rake in some $12 billion annually.

The International Monetary Fund warned the kingdom's GDP will shrink by 6.8 percent this year -- its worst performance since the 1980s oil glut.

The austerity drive would boost state coffers by 100 billion riyals ($26.6 billion), according to state media.

But the measures are unlikely to plug the kingdom's huge budget deficit.

The Saudi Jadwa Investment group forecasts the shortfall will rise to a record $112 billion this year.

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