The Kingdom’s Mining History, from Founding Days to the Present with the 2030 Vision
The Kingdom of Saudi Arabia has been exploring its mineral wealth since 1997, when the Ministry of Oil and Mineral Wealth developed a strategy to expand the mining sector. These efforts culminated in a major shift in the mining sector after the release of the Kingdom’s 2030 vision. That aims to diversifying the Kingdom’s economy, which includes mining as the third pillar of national industrialism. three strategic initiatives Conducting geological surveys of the kingdom to identify potential mining sites, Identifying investment opportunities in the mining sector, Studying possible incentives to attract foreign investment.
One of the most important strategic recommendations was to introduce a new mining investment law that would prioritize the development of the sector and promote foreign investment by reducing the tax rate from 45% to 20%. This change had no effect on the financial system, but it was aimed at protecting investors in accordance with international standards.
Another recommendation put forth by the strategy was the establishment of a dedicated team tasked with strengthening investments within the sector. This team would undertake various responsibilities, such as:
Strategy
Developing a strong investment approach centered around high-quality investments, while also ensuring the engagement of diverse range of investment partners.
Added-Value
Assessing the impact of sector initiatives on competitiveness and the sector's overall integration
Go To Market
Crafting innovative marketing concepts, refining investment mechanisms, and fostering communication with potential investors.
Governing and Organizing
A continuing improvement and maintenance of the tools and regulations; this includes: the ministry’s website, the sector’s standards, and developing an inclusive employment plan that consists of recruiting and training employees.
Operations
Map out work operations, enhance key performance indicators, and ensure a seamless integration of the investor's journey.
Enable Investments
Through evaluation and enhancement of the kingdom's competitive value, structuring investment prospects, and collaborating with existing entities to ease efforts of empowerment within the sector.
Develop Mineral Supply Chains
Elevating mining to a pivotal role for industrial growth in the Kingdom by leveraging local mineral resources and domestic demand. Simultaneously, tapping into global markets to diversify local products and create employment avenues.
The Correlation with Vision 2030
- Enhance the competitiveness and productivity of national companies
- Encourage the Large Saudi companies to expand internationally
Collaboration with the National Development and Logistical Program
- Develop the educational system for applied technology
- Develop Local supply chain
- Improve the efficiency of the seaports
- Implement the national investment strategy
- Rely on hydrocarbon and mineral resources to grow remote regions, and connect electrical grids to these regions
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