McKinsey Says Saudi Arabia Can't Wait for World to Get Better
- Reforms needed to avoid rising unemployment, deficits and debt
- Investments would double GDP, create 6 million jobs by 2030
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Saudi Arabia can’t afford to wait for oil prices to recover and needs to accelerate economic measures to avoid rising unemployment, deficits and debt, McKinsey & Co. Inc. said in a report released Thursday.
The country requires public and private investments of as much as $4 trillion as part of a strategy to boost productivity and create jobs, the report said. Based on current trends, Saudi Arabia “could face a rapid economic deterioration over the next 15 years.” Even a public spending freeze and halt to hiring foreign workers would still leave the country facing falling household incomes, rising unemployment and weakening finances.