Saudi Business Consulting Market to Grow as Lucrative Business Sector
The Gulf Cooperation Council (GCC) has begun a new face of its business. After decades of reliance on oil industry, the countries seem to have tough years during the decrease of oil prices. The fact that this condition causes significant influence to revenue, there is a market that remains steady—consulting industry. Even,
Saudi business consulting is known to be the strongest among other GCC countries.
The data sourced from research institution revealed a fact that the consulting market in GCC countries (Bahrain, Oman, Kuwait, Qatar, Saudi Arabia, and UEA) grew by 9.4 % in 2015, in which it reached a value amounted to $2.7 billion. This rate is quite impressive considering fluctuate global economy and oil price that remains decreasing. However, it cannot be denied that the slump in oil industry influenced this market.
Get Closer to Saudi business consulting Market
Being the most prominent country in performing consulting industry, Saudi Arabia receives nearly half of entire GCC regions revenues from consulting market. The value of consulting industry reaches $1.25 billion, in which the source is dominated by public domain. The demand is getting higher as Saudi Arabia is now executing Vision 2030 strategy which aims to bring its local firms to global market.
As the strategy to achieve its vision, the kingdom has been hiring leading consulting firms to carry out the development projects, thus the country’s reliance on oil can be decreased progressively. There are several world class consulting firms accounted for the great change within the kingdom, some of which already opened new branches in Saudi Arabia.
Other GCC Countries Consulting Market
Apart from Saudi business consulting industry that remains growing, other GCC countries also experience the same trend in consulting market. Those countries have begun elaborating the idea of employing external consulting firms to help executing the development projects. Qatar, for instance, has its own Vision 2030 which aims to improve its infrastructure.
As consequences of this vision, Qatar’s expenditure on consultant grew significantly by 12%. Data stated that it reached $856 million in 2015. Compared to the other industry such as healthcare, biotech, and pharmaceutical, consulting market is the fastest growing industry in Qatar. Actually, this is also an indirect impact of the decrease of oil prices. Yet, the value is still lower than Saudi Arabia.
UEA is following Saudi Arabia, being in the second rank of the most prominent consulting market among GCC countries. The growth of this industry is by 4.3% amounted to $788 million. Qatar is following UEA, being the third place in consulting industry. Its revenue grew by 6.6%, or reached $329 million. And the fourth place is Kuwait which grew by 3.7% or amounted to $183 million.
According to the data, Saudi business consulting industry is the most prominent, leaving UEA, Qatar and other countries in GCC regions. However, it cannot be denied that this industry sector starts to get attention from those gulf countries. This cannot be separated from fluctuate and unstable oil prices, insisting the countries to obtain revenues from other sources other than oil industry.