Unemployment in Saudi Arabia declined to 14.9 percent in Q3 2020, the latest date for which such data are available, down from 15.4 percent in Q2 2020, a recent report from the Riyadh-based Jadwa Investment finds, citing figures from the official General Authority for Statistics.
The improvement was in-line with the pick-up in overall economic activity in Q3, following the lifting of severe pandemic related restrictions in mobility from June 2020 onwards.
Saudi unemployment rates and participation rate. Graphic via Jadwa Investment.
Labor force participation inched up in Q3 2020 to 49 percent, versus 48.8 percent in Q2 2020, with a modest rise in male
participation being observed, Jadwa says.
Notably, Saudi Arabia continued to see steep declines in the number of expats participating in the Saudi labor market. 231
thousand fewer expats were employed in Saudi Arabia on a net basis, in Q3, quarter-on-quarter, data showed.
The number of Saudi workers witnessed a rise in most sectors, quarter-on-quarter, according to Jadwa. Increasing the number of Saudi nationals in the workforce, also called “Nitaqat” or “Saudization,” is a focus of authorities.
“In line with our expectations, we note a higher degree of substitution of expats with Saudis was seen in wholesale and retail, administrative services, manufacturing, and accommodation and food services,” Jadwa notes.
[Click here to read the full report from Jadwa Investment] [Arabic]
