Saudi Arabia Dawning: A Century of Reforms in Just a Few Years

This is the second time that I visited Saudi Arabia this year. I own and manage Hungary’s only media intelligence company and - as part of my work - I travel to major media outlets around the world. I've been fortunate enough to meet numerous editors and journalists and visit esteemed media outlets from CNN and The Wall Street Journal in New York to the BBC in London, and Gulf News in Dubai. Recently, I have delved into the world of Arabic news media, gaining valuable insight into the media landscape across the MENA region. My trips to Saudi Arabia are not solely for business purposes; they also provide an opportunity to learn more about the Saudi economy and society.

2024. 12. 02. 9:57
Forrás: Szalay-Berzeviczy András
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The Arabian Peninsula is a compelling pivot between Asia, Africa, the Middle East, and Europe. Its connective force comes not merely from Saudi Arabia’s status as a global oil superpower, but also from the kingdom's sweeping modernization underway. This transformation is led by the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz, and Crown Prince Mohammed bin Salman (MBS), who announced their ambitious social reforms and a thriving long-term government program called Vision 2030 in 2017. As a result, the country has undergone such social, economic and cultural changes in just a few years that might take other nations a century to achieve. 

On a scorching day in Riyadh, I visited the editorial offices of Arab News, a market-leading English-language daily. In a symbolic move, the paper recently updated its slogan from “The Middle East’s Leading Arab English Language Daily” to “The Voice of a Changing Region,” a change aptly reflecting not just Saudi Arabia’s commitment to change, but also its ambition to to become visible, globally.

Photo: Andras Szalay-Berzeviczy

A land full of challenges

Modernization has no uniform receipe across the globe. It is a cultural, as well as an economic process that boasts local characteristics and specialities. MBS appears to be taking moderate, well though-out steps in implementing the reforms. He believes in a gradual and smooth transition, because he has identified that – on the one hand - he needs to preserve Saudi Arabia’s security and prevailing good partnership with both the West and the US, and to maintain good living standards, Saudi Arabia's traditions and religion-centered lifestyle, on the other. 

The population of the Kingdom of Saudi Arabia is now 16 times larger than it was a century ago. Its capital, Riyadh, is home to 6 million people, compared to just 400,000 inhabitants 86 years ago, when the first drops of oil were discovered in the sands of the Dammam oilfield.

Since then, Saudi Arabia has become one of the world's largest oil exporters and emerged on the global stage in 1960, as a founding member of OPEC, boasting the second-largest oil reserves globally.

Reforms with roots

Lately, the reforms have intensified, but they are not unprecedented. The Kingdom of Saudi Arabia became a member of major  international and intergovernmental organizations - such as the United Nations, the World Trade Organization, the World Bank and the Arab League - not long after World War II. In 1981, it co-established the Gulf Co-operation Council, and joined the G20 in 2008. 

MBS is busy framing a new social contract with Saudi Arabia's diverse population. The contract relies on providing ample social well-being and a fair redistribution, making less bureaucracy, less corruption, more social inclusion, more social mobility and good living standards the key driving forces of his ambitious plans. 

Saudi Arabia granted women the right to drive not merely as a symbolic gesture of emancipation, but as a strategic decision to boost the economy by retaining the millions of dollars previously sent home by immigrant taxi drivers, who had been earning fares from Saudi women.

This move, however, also created upward pressure to integrate women into the labor market. The country’s social reforms have extended beyond driving rights, including the issuance of the first tourist visas, the introduction of female schooling and the easing of male guardianship laws—enabling women to travel independently these days. Additionally, cinemas, entertainment centers, and other social spaces have been opened. These reforms have led to a surge in foreign investment, tourism, and international sporting events. Saudi Vision 2030 is designed to bring about a complete transformation in the country’s political, economic, educational, and cultural landscape. It seeks to attract foreign direct investment and entice back Saudi-affiliated corporations that, two decades ago, chose London or Dubai over Saudi Arabia due to its less attractive legal and tax environment.

 

Representative media trends

Changes on the media market are a good reflection of the economic and social changes, on a whole. 

By today, Saudi Arabia boasts the highest social media penetration in the world. 

The growing crowds of digital natives are constantly democratizing the information flow on the Arab paninsula.In the Kingdom, tThe majority of TV channels cannot afford to rely solely on commercial revenues, so they need a supportive government. However, as the competitive market economy strengthens, the advertising market also strengthens with it. 

One of the biggest media conglomerates in the MENA region, MBC - the Middle East Broadcasting Company – was initially established in 1991 by media mogul Waleed Al Ibrahim. Inspired by the free speech tendencies of the West, he put the conglomerates' registered headquarters into London. When Dubai made a favorable offer and ensured both a stable business environment and a platform to air diverse views, MBC no longer had a reason to stay in London, and it relocated to the United Arab Emirates. In the past few years Riyadh has loosened its grip on media centralization and control, o MBC is now relocating to the Saudi capital. During my visit, I was happy to learn about the new buildings under construction at the premise of Al Arabiya Television Channel. 

The role of a media mogul like Sheik Waleed is to abide by the rules, but not to the extent that he would lose viewers. My host at Al Arabiya confirmed that there was no significant government controll on how Al Arabiya reports on international issues, such as the Gaza conflict. The Saudi government and Media Ministry encourage them to be objective, factual and fair.

Governmental and economic stakeholders are working hand in hand to modernize the Islamic society of the Arabian peninsula, without compromizing on respecting and preserving Saudi customs and traditions.

 Not long after the turn of the century, MBC General Manager Abdul Rahman Rashed confirmed in an interview that their objective was to modernize and liberalize the mindset of Arab and Saudi people.  

Institutional entrepreneurs like Waleed Al Ibrahim of MBC, or Alwaleed bin Talal of Rotane Media Group, are promoting individual self-realization and achievements.

Similar to the government, they reject the concept of "Islam being hijacked by radicals.” 

They support re-Islamization, modernization and the general scheme of Saudisation, which means providing support for regulations and the imposition of fines on companies that employ more foreigners than Saudis.

Photo: Andras Szalay-Berzeviczy

 

Will the dreams come true? 

Will the futuristic NEOM project, featuring the sci-fi "Line" structure stretching 170 kilometers across the desert from the Red Sea to the city of Tabuk, be realized by the end of the decade? Will the Crown Prince’s dream of generating 50% of the Kingdom’s energy from renewable sources within five years come true? Will Saudi Arabia achieve the goals of Vision 2030, including reducing unemployment to below 7 percent in the short term? Will women’s participation in the workforce increase significantly? Will renewable energy replace fossil fuels in the Arabian desert? And by 2030, will we see self-driving cars speeding through the Mars-like landscape of the Nefud Desert?

It’s difficult to say, but one thing is certain: Saudi Arabia has recently embarked on an exemplary journey in the region to build a diversified economy and a more open, tolerant society. Its goals are not those of a solitary, isolated nation. Saudi Arabia’s regional rise and its political and economic influence are in the interest of all of us, particularly when it comes to global energy security and maintaining peace.

Photo: Andras Szalay-Berzeviczy

As we strolled through the glowing light displays of the Riyadh Boulevard World's colorful alleys and cozy cafés, surrounded by a surging crowd, my guide Masab, a civil servant at the ministry of media, proudly explained that his country has never enjoyed such high levels of public safety and quality of life as it does today. People are happy and eagerly awaiting the Crown Prince's ascension to the throne. Passing by miniature replicas of the Champs-Élysées and the Eiffer Tower, we arrived at the pint-sized St. Mark's Square. Here, we took a moment to rest by the fairy-blue waters of the Lagoon, which made it into the Guinness World Records last year as the largest man-made artificial lake in the world.

Authored by Andras Szalay-Berzeviczy, CEO of TranzPress Ltd.

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