RIYADH – Saudi Arabia is taking significant steps to regulate its labor market and enhance the skills of its workforce, with a particular focus on foreign workers. Recent discussions by the Council of Economic and Development Affairs (CEDA) highlighted progress in professional accreditation and licensing procedures, alongside positive economic indicators and health sector transformation initiatives. The initiatives aim to bolster the Kingdom’s economic diversification goals under Vision 2030.
The CEDA meeting, held via video conference on Monday, covered a broad range of topics, including economic performance, budget reviews, healthcare development, and the Saudipedia project. These discussions signal an ongoing commitment to both economic growth and social development within the Kingdom. The central theme remains improving the quality and efficiency of the labor market.
Improving the Quality of Foreign Workers
A key focus of the CEDA meeting was the implementation of Cabinet Resolution No. 195, which requires foreign workers to demonstrate the necessary qualifications, skills, and practical experience before and after entering Saudi Arabia. This is being achieved through the professional verification track, according to a joint presentation by the Ministry of Education, Ministry of Economy and Planning, and Ministry of Human Resources and Social Development. The goal is a more highly skilled and productive workforce.
The standardization of professional licensing procedures is also underway. The Ministry of Economy and Planning’s study aims to streamline processes, improve data accuracy related to labor market demographics, and ensure services are delivered with greater efficiency. This will streamline the process for employers seeking qualified personnel.
Economic Outlook Remains Positive
The Kingdom’s economic trajectory was another key area of review. The Ministry of Economy and Planning’s quarterly report showcased continued strong growth, driven by robust performance across all major economic activities. This positive momentum is a critical component of the Vision 2030 plan.
Furthermore, the report included an analysis of global economic trends and projections, providing context for Saudi Arabia’s domestic performance. These external factors are weighed against internal development efforts to refine economic policies.
Fiscal Sustainability and Diversification
The Ministry of Finance presented its third-quarter budget performance report for the fiscal year 2025, confirming ongoing support for crucial development and service initiatives. The report also pointed to successful implementation of government reforms aimed at achieving greater fiscal sustainability.
A key component of these reforms is the diversification of income sources, moving away from a heavy reliance on oil revenue. This diversification is being pursued through investments in sectors like tourism, technology, and manufacturing, linked to the Kingdom’s overall economic development.
Health Sector Transformation Progresses
The Ministry of Health reported progress in its ongoing transformation process. The second phase of this transformation will center on empowering the Health Holding Company and the Center for National Health Insurance. These entities are considered the cornerstone of restructuring the healthcare sector.
Development of a new healthcare model emphasizing preventative and curative care pathways is also a key aspect. According to the report, improvements in access to services, quality of care, and preventative health measures are already being realized. Additionally, draft regulations for healthcare institutions joining the Center for National Health Insurance network were reviewed, promising a more integrated and results-driven healthcare system.
Saudipedia Gains Traction
CEDA also reviewed the progress of Saudipedia, the national encyclopedia. The semi-annual presentation from the Human Capability Development Program and the Ministry of Media detailed increasing audience engagement, with a reported 70% rise in website interaction between July/August and September/October.
Importantly, Saudipedia’s visibility on search engines increased by 20% during the same period. This improvement is attributed to the integration of artificial intelligence applications designed to enhance information delivery and the user experience. The project reflects a commitment to knowledge dissemination and cultural preservation.
Other procedural matters discussed included draft legislation for the National Curriculum Center, the national insurance sector strategy, and plans related to the development of the football system. A study on the feasibility of specialized professional programs in infection prevention and control, and a survey on food loss and waste were also examined.
Looking ahead, the Council is expected to continue monitoring the implementation of these initiatives and reviewing related reports on a quarterly basis. The success of the foreign worker accreditation program, alongside the broader economic and health sector reforms, will be crucial indicators of progress towards the goals of Saudi Vision 2030. Further details regarding the finalized regulations for healthcare providers and the timeframe for full implementation of the health transformation are anticipated in future CEDA meetings.
