Saudi Arabia has replaced its Minister of Finance, Dr. Ibrahim Al-Assaf, with the head of the Kingdom’s capital markets regulator Mohammed Al-Jadaan in the latest move toward a younger generation of technocratic leaders in high positions.
Al-Assaf was Saudi Arabia’s longest-serving active minister, having held the position of Minister of Finance since 1996. Another Royal Order specified that Al-Jadaan will be relieved of his duties as head of the Saudi Capital Markets Authority (CMA), but did not say who would replace Al-Jadaan.
Dr. Ibrahim Al-Assaf (R) was Minister of Finance for over 20 years.
In comments to SUSTG, Dr. Fahad Nazer, a Vienna, Virginia-based analyst for JTG Inc. and former employee of the Saudi Embassy in Washington, said that Al-Assaf’s long career served as a stabilizing figure to many Saudis during a time of major economic reforms – and many new faces in key leadership positions. “Assaf served three kings and his mere presence during this most recent financial crunch was reassuring to many. Many Saudis credit him for the conservative – but prudent – financial policies the Kingdom has adopted for two decades which have resulted in the accumulation of substantial reserves and little debt,” Nazer said.
“Nevertheless, the cabinet is now largely composed of a new , younger generation of bureaucrats, most of whom bring very impressive credentials to the job. Most are also non-royals,” Nazer said, adding that the trend does seem to have wide support among Saudi youths in particular. “I think it sends an important message: If you distinguish yourself in your particular area of expertise, you can move up the ladder very quickly and have a seat at the table where policy is made.”
Mohammed Al-Jadaan is a lawyer was appointed to the head of the CMA in January 2015. Before that, Al-Jadaan was one of the founding partners of the Al-Jadaan and Partners Law Firm.
Al-Jadaan said on Tuesday he had great confidence in Saudi Arabia’s Vision 2030 despite major challenges.
“My confidence in God is great, and then the guardian (the king), at this blessed state’s launch towards broader horizons of growth and financial, economic and social prosperity, in the framework of the kingdom’s 2030 vision, despite all the challenges,” Al-Jadaan said in a statement on the ministry’s website, Reuters reports.
Al-Assaf was one of three senior officials who appeared recently on a Saudi talk show this month to defend recent fiscal policy measures implemented by the government. The ministers’ performance was criticized by many Saudis, but it is unknown if the termination is related to the appearance or was planned for some time.
There were other changes to the Kingdom’s leadership as well. A Royal Order issued empowered former Saudi Minister of Commerce and Industry, Dr. Tawfiq bin Fawzan Al Rabiah, with the task assigned to the Minister of Trade and Investment in the organization of the Consumer Protection Association.
Saudi Arabia also shook up the president of the Public Transport Authority, the President of the General Authority of Meteorology and Environmental Protection, and the governor of the Saline Water Conversion Corporation.
Additionally, the Saudi Food and Drug Authority (SFDA) has a new leader. Executive President of the SFDA Dr. Mohammed bin Abdulrahman bin Suleiman Al-Misha’al was replaced with Dr. Hisham bin Saad Al-Jadhei.
[This post was edited with new information.]
