Saudi social reforms set to safeguard and foster development

Around the world, social sectors are in the midst of dynamic changes driven by advances in technology, shifting economic contexts, and the evolving priorities of citizens.

As these changes permeate across the populace, Saudi Arabia has emerged as a classic case study in the Gulf Cooperation Council and the broader Middle East in unleashing social reforms, headlined by the government’s ambitious Vision 2030 program, which fosters inclusive development, economic diversification, and heightened social responsibility.

Both well-planned and forward-looking, Saudi social reforms have not only encouraged faster economic growth and a world of opportunities, but also opened the country up more than ever before to new tourists, residents, and investors. At a time when demographic structures, technology, economic contexts, and lifestyles of citizens are all evolving, the focus on social reforms therefore stands out in its impact on nurturing local communities for sustainable growth.

This is especially critical in the context of the UN Sustainable Development Goals — the global barometer for sustainable progress of society — which have played a vital role in setting the basis for improved social outcomes such as good health and well-being, quality education, gender equality, decent work, reduced inequalities, and sustainable communities.

An excellent example of this is the reform of benefit and support schemes. In Saudi Arabia, the Citizen’s Account Program, a cash transfer program established in 2017 to protect families from the expected direct and indirect impact of various economic reforms, has been extended in 2024 in its current mechanism along with the provision of additional support to its beneficiaries for a full year. Other social welfare programs are also being reformed to address any previous shortcomings.

Indeed, the Kingdom’s holistic and strategic approach to implementing such welfare programs is noteworthy for bolstering the role of the non-profit sector as well as civic engagement and corporate social responsibility. In line with GCC-wide strides, we have seen public policy in Saudi Arabia transform to help stakeholders directly engage in philanthropic endeavors. For instance, the Kingdom has defined “A Vibrant Society” as one of the three pillars in its Vision 2030 with a focus on the third sector, also known as the non-profit sector. The country also recently launched the “Sakhaa” program which aims to find donors to contribute towards projects that are impactful to the community.

The Kingdom’s holistic and strategic approach to implementing welfare programs is noteworthy for bolstering the role of the non-profit sector.

These reforms are visible in the transformation of social services such as education, healthcare and housing. For example, Saudi Arabia is rapidly reforming its health sector with a focus on improving access, modernizing facilities and equipment, and enhancing the role of private sector investment.

While such bold projects will certainly pave the way for a progressive future for Saudi society and the region in general, successfully navigating these complex community development programs from design through implementation requires alignment with international, national, sectoral, regional and even local drivers.

That is why it is essential to keep in view the full spectrum and scope of such programs, from social protection to safeguarding culture and others, across all beneficiary segments, from families to special groups.

In addition, as the rollouts of social reforms programs around the world have demonstrated, a vaguely defined and general basket of social programs or benefits can end up derailing the project itself due to their lack of effectiveness and efficiency. The need of the hour is therefore to design and implement more specific, targeted, and intensive interventions that take into account the unique needs and circumstances of each stakeholder or demography.

This is a key reason why several countries have opted for dedicated strategies or programs for specific population groups, as a way to empower and protect the rights of each one of those groups. Saudi Arabia’s National Family Strategy, centered around the importance of the family unit, is a perfect example. The strategy hinges on family-member-specific plans, notably children, women, and the elderly, with five fundamental pillars comprehensively catering to their needs: safety and security, inclusiveness and equality, prosperity and stability, social responsibility, and the preservation of values and identity.

Diving deep into the program will reveal several innovative initiatives: for families, a financial literacy program and the family values enhancement center; for children, a developmental framework for the first 1,000 days of their lives and a child volunteering program; for the elderly, continuous learning opportunities and the development of elderly-friendly cities; for women, programs focusing on STEM fields, sports, and leadership, among others. Altogether, they are a great indicator of how social programs, irrespective of their aims, must connect to and engage with their beneficiaries.

As Saudi Arabia and the GCC strive to foster development through social reforms, it is vital to develop future-ready plans that anticipate and address challenges proactively, design innovative policies and programs, examine beneficiaries comprehensively to ensure policies and programs address their individual needs, look at the sector holistically by taking an integrated planning approach, and engage and empower the community, both individuals and organizations, to increase the sense of community and belonging while leveraging the combined resources.

• Antoine Nasr is a senior managing director & EMEA public sector practice lead at FTI Consulting. He has more than two decades of management consulting experience, with a focus on public sector work. Nasr has supported governments in the Middle East and across the globe in shaping national visions and policies and defining socio-economic development agendas, and has led large-scale transformation and restructuring efforts for public and private sector entities.

• Georges Assy is a senior managing director at FTI Consulting. Assy advises government entities in the Middle East on their most prominent policy, strategy, and transformation projects. He has more than 15 years of experience focusing on center of government, social development, and other key areas.