As per the study conducted by Jadwa Investment Company in the kingdom of Saudi Arabia showed that 1.2 Million Expatriates working in the kingdom will leave Saudi Arabia in 2020.
Due to increase in Saudization, increase in oil prices, increase in un-employment rate which impacted business in this pandemic situations (COVID-19) most of the foreign workers (Expats) will leave the kingdom.
Most impacted sectors where expats works are hospitality, food services, administrative and support activities, which include rent and lease activities, travel agencies, security and building services.
1.2 Million Expats will Leave Saudi in 2020
All the above sectors will be impacted with unemployment rates and even Saudization will be a concern for Expats.
Due to this large no of Expats working will be leaving the kingdom (KSA) when they don’t have jobs.
After this pandemic situations most of the businesses will not get back in full swing as earlier. Many Small businesses even got shutdown due to COVID impact.
As per Jadwa Investment Company, the no of SANED beneficiaries reached up to 450,000 Saudis who are working in around 90,000 companies and establishments by last month. Till now SR2.4 billion has been spent on the project, which represents about 37 % of the budget allocated to the scheme.
There is ample room to extend SANED for a period of more than three months, if necessary as per the sources.
As per Jadwa report, it is expected that overall businesses will improve in the 2nd half of the year 020, especially in the 4th quarter of the year, and this will bring better prospects for the employment only for citizens despite the looming uncertainty associated with the coronavirus pandemic.
With exit of a large number of Expat workers during the year 2020, there is a greater opportunity for Saudi National to replace Expatriates in these sectors.
Moreover, with the expected beginning of the recovery of the economy by the end of the year, there could be a significant increase in demand for some goods and services. Such an increase, in addition to the precautionary measures linked to the pandemic, will limit the arrival of foreigners on new visas, and this will subsequently provide more opportunities for the citizens, the report pointed out.