Saudi Arabia is blessed with an aspiring, youthful population

The statement of Saudi Minister of Economy and Planning Faisal Al-Ibrahim that the latest population census is “the most comprehensive and accurate” in the “Kingdom’s history” caught my attention recently.

Last week, the General Authority for Statistics announced the Kingdom’s 2022 census, which puts the population of Saudi Arabia at just over 32 million, with Saudis at 18.8 million, or 58.4 percent, while non-Saudis total 13.4 million or 41.6 percent.

The youth, under 30 years of age, make up 63 percent.

As for non-Saudis, they dropped from a peak of 14.6 million in 2016 after the government began to impose extra fees on relatives of foreign workers.

In 2020, more than 1 million foreigners left the Kingdom during the COVID-19 pandemic.

However, with the latest new directives and initiatives, including giga projects, economic zones and international firms relocating their regional headquarters to the Saudi capital, the number of foreign residents is expected to rise again.

Given the evolution and change in the methodology used in the 2022 census, compared to that of 2010 (which relied mainly on fieldwork and documentation on paper), GASTAT has backcasted the population from the previous years based on the results of the 2022 Saudi census.

Some may argue that the young population highlights the government’s challenges in diversifying the economy away from oil and creating jobs. In my opinion, I strongly believe having 63 percent below 30 is a blessing from Allah.

Backcasting aligns with international best practice and reflects changes in census data resulting from improved methodologies.

It is a fact that a population census is vital for any government to make informed decisions based on current and accurate data.

The latest Saudi population census data should guide the government’s master plan for public services and policies, including education, housing, transportation, health, quality of life, and environmental protection.

On the private sector front, the data helps the business and financial sectors to determine the size and growth of the market — encompassing details of consumers including occupation, geographical location, age and gender — to develop products and services.

We at BMG ask our clients who want to go public to justify and support their financial projections with accurate consumer data for their products and services.

Some may argue that the young population highlights the government’s challenges in diversifying the economy away from oil and creating jobs.

In my opinion, I strongly believe having 63 percent below 30 is a blessing from Allah.

Those vibrant and aspiring youngsters, males and females, are the backbone of the Saudi economy. The Public Investment Fund and its 70-plus newly created companies, as the main employer in the country, will have enough jobs for them.

Basil M.K. Al-Ghalayini is the chairman and CEO of BMG Financial Group.