The Council of Saudi Chambers of Commerce and Industry has described Saudization efforts as “holding back” the contracting sector works in the Kingdom, saying that there are not enough human resources with the necessary academic or practical qualifications. The Council expressed its views in a report containing 11 main factors it believes are impeding growth in the sector, the most prominent of which include “unprofessional competition” and a “lack of set standards in competing for government contracts”, a “lack of government and private sector financing facilities”, “difficulties in recruiting workers from abroad that lead to a downturn in revenues”, and the “emergence of foreign groups unqualified for the Saudi market”. The Council said that it was looking into the setting up of contracting management companies in view of a shortage in the Kingdom, as well as ways to provide quicker assistance to smaller contracting firms. The proposals will eventually be submitted to Abdullah Zainal, Minister of Trade and Industry, and Council Chairman Saleh Al-Kamil. The report, in the Council's first proposed corrective measures for issues facing the contracting sector, further offers 18 wide-ranging solutions addressing areas such as the proper bidding and presentation methods in tendering contracts, allowing smaller contractors to compete, restructuring smaller contractors through modern financing systems, studying the placement of conditions on foreign contractors with the General Investment Authority, and conditions for acquiring a trade register number.
