Remarks as given by World Bank Director for the GCC Region, Safaa El-Kogali, at the Global Labor Markets in Riyadh, Saudi Arabia
Excellencies, distinguished guests, colleagues, ladies and gentlemen.
Assalamu Alaikum wa rahmatu allah wa barakatu
I am honored to be here with you today on behalf of the World Bank.
The World Bank’s partnership with the Kingdom of Saudi Arabia goes back decades. This year will mark the 50th anniversary of when we first opened an office in Riyadh in 1975. Our partnership is going strongly and this event today is a testimony to that.
Saudi Arabia underwent a marvelous transformation since the launch of its Vision 2030. At the very heart of these changes are the reforms in the labor market helping create more and better jobs, especially for youth and women. The World Bank has been a close partner in this journey.
We all know that jobs are essential for development and the most effective tool to combat poverty. In the words of our World Bank Group President Ajay Banga, “Jobs offer a pathway out of poverty, empower women, inspire younger generations, and strengthen communities.”
That is exactly what the Kingdom of Saudi Arabia has done over the past few years. In 2020, Saudi Arabia adopted a far-reaching labor market strategy, that mapped out a pathway of legal reforms to make the labor market work smoother, introducing new programs, reforming old programs, and building capacity of institutions to deliver those programs. We were proud partners offering our global advice and technical assistance. Some of the reforms have been difficult; some were met with skepticism but with evidence—data, research, and examples of good practices from elsewhere in the world—they managed to overcome the hurdles and achieve impressive results.
Just look at surge in female labor force participation that only within a period of six years moved from 16% to 36% — an unprecedented pace as his excellency, Minister Alrajhi, mentioned. This is not only important for the Saudi economy and society but is also a shining example for the rest of the region and the world.
As the Kingdom continues in its journey to achieve its vision 2030, learning from best practices, it also has lessons to share with the rest of the world. As a Knowledge Bank, we are keen to broker knowledge exchanges across the world to the benefit of all countries.
The Global Labor Market Conference which was first launched last year was a beginning to global knowledge exchanges on labor market issues. Together with MHRSD and Takamol, we brought together hundreds of policy makers, practitioners, the private sector to discuss important issues.
This year’s second edition of the Global Labor Market Conference also included the first Saudi Arabia - World Bank Global Labor Market Academy which offers a platform to continue sharing experiences, exchange ideas and most importantly, insights into what has worked and what has not in improving employment outcomes and hence, people’s lives.
Over the last three days, the Global Labor Market Academy brought over 55 policymakers from around the world to Riyadh to learn from each other about labor policies and programs. Some of the participants of the Academy will also share their experience at Policy Labs on Sectoral Skills Councils and Active Labor Market Programs here at the GLMC today and tomorrow.
We are also very proud to launch a joint GLMC-World Bank report on youth employment at a session tomorrow, to give new impetus to the urgent need to address the challenges hindering youth employment.
Excellencies, ladies and gentlemen, there is a global employment crisis that demands immediate action from all of us. Approximately 400 million people are willing to work but remain unemployed, with large disparities.
Over the next decade, 1.2 billion young people in emerging economies will enter the workforce, but job creation will fall short, with an estimated deficit of approximately 300 million jobs.
This is why this gathering is more important than ever. We all need to work together and share our experiences to help tackle these challenges and create a better future for all people around the world, especially in the Global South.
As Ibn Alrushd said “True work is what makes a person free; idleness is humiliation, while work is dignity.”
In closing, I would like to thank MHRSD, Takamol and GLMC for the strong partnership with the World Bank and for making this event a reality. It offers a great contribution to the global dialogue on labor policies.
