Paper/Speech Details of Conference Program for the 15th NISPAcee Annual Conference Program Overview Panel on Getting Public Administration Reform to Work Author(s) Khalid Al-Yahya The Dubai School of Government Dubai United Arab Emirates Title Governance innovation through network: the case of Saudi Arabian general investment authority File Paper files are available only for conference participants, please login first. Presenter Abstract To liberalize its trade and investment programs, diversify the economy, and join the World Trade Organization (WTO), the Government of the Kingdom of Saudi Arabia considered improving the investment climate a top priority. With the largest market in the Gulf, a serviceable infrastructure, a well-regulated banking system, and a high per capita income, Saudi Arabia was potentially attractive to foreign investors. However, Saudi Arabia had failed to attract significant foreign investments in its telecommunications, transportation, power industries. Foreign investors were deterred by incomplete and inaccurate economic data, government labor restrictions, slow payment of contracts, restrictive visa policies for workers, confusing tax laws, and a very conservative cultural environment. To enhance the country’s investment climate, the Saudi Arabian Council of Ministers established the Saudi Arabian General Investment Authority (SAGIA) in April 2000. SAGIA operates under the Supreme Economic Council and has been empowered to formulate government policies pertaining to investment activities and to license all foreign investment projects. It functions in a multi-dimensional role as services facilitator, regulator, and change innovator. Innovations SAGIA is one of most forward thinking agencies in Saudi Arabia and has been very active in deploying the latest technologies to empower its staff. Its status as a semi-independent, quasi-government agency, is not common in the region and is an innovation. SAGIA established an Investor's Service Center (ISC) which provides licenses to foreign companies, provides support services to investment projects, offers detailed information on the investment process, and coordinates with government ministries in order to facilitate investment procedures. The ISC must decide to grant or refuse a license within 30 days of receiving the application and supporting documentation from the investor. SAGIA has also established a Women’s Investment Center. SAGIA’s primary innovation has been to develop a network of public-private partnerships which integrates private sector interests with the public sector operations. In this challenging role, SAGIA has reduced barriers to foreign investment and demonstrated flexibility and efficiency while maintaining transparency and accountability.
