A THREE-WAY agreement aimed at developing an industrialisation strategy for six cities of Saudi Arabia has been signed.

The Saudi Arabian Basic Industries Corporation (Sabic) and the Saudi Industrial Property Authority (Modon) has the agreement with Boston Consulting Group (BCG) in Riyadh to develop industrialisation strategies for Al Jouf, Tabuk, Hail, Jizan, Najran and Arar.

The agreement, under which Sabic will be the sole sponsor, was signed by Mohamed Al Mady, Sabic vice-chairman and chief executive officer; Dr Tawfig Alrabiah, director general of Modon; and Thomas Bradtke, partner and managing director, BCG.

Commenting on the agreement, Al Mady said that Sabic is supporting this study to contribute to the development of the industrial sector in Saudi Arabia. He noted: “We have already experienced the establishment of the two industrial cities of Jubail and Yanbu. These cities have seen phenomenal growth over the years, and stand as role models for industrial success in Saudi Arabia.

“The intention now is to focus on developing the less-developed cities and regions of Saudi Arabia and pave the way to launching additional industrial cities.”

Dr Alrabiah noted that the study will provide up to 300 industrial opportunities involving value-adding and exportable downstream industries that can provide substantial job opportunities for national employment.

The first phase of the study will incorporate the findings of previous studies, develop a clear understanding of the market potential, examine the attributes of each of the subject cities, identify the most appropriate industries (or combinations of industries), examine the key enablers and develop value propositions for each of the cities for investment attraction.
BCG is a global management consulting firm and leading advisor on business strategy.