Vision 2030 has done wonders for women. But there’s still room to enhance their economic roles in Saudi Arabia.
Vision 2030 has done wonders for women. But there’s still room to enhance their economic roles in Saudi Arabia.
By Beata Polok and Maha Akeel
Mobilized by the ambitious Vision 2030 plan launched by Crown Prince Mohamed Bin Salman in 2016, Saudi Arabia has undergone substantial socioeconomic reforms to diversify the economy and reduce reliance on oil revenue. Central to these reforms is women’s empowerment, a key driver of sustainable growth. Legal and labor reforms, such as lifting the driving ban in 2017 and introducing anti-harassment laws, have significantly increased Saudi women’s participation in the workforce and business. The government also amended the Civil Status Law, with amendments that grant women greater autonomy and allow them to make decisions without male guardianship, act as heads of households, decide on their residency, travel freely, and manage their own businesses. Female participation in the labor force surged from 23.2 percent in 2016 to 34.4 percent by 2022, surpassing Vision 2023’s initial target of 30 percent, while women now own 45 percent of small and medium-sized enterprises (SMEs). However, despite these significant advances, gaps persist between policy and practice.
According to the World Bank’s Women, Business, and the Law 2024 (WBL) report, Saudi Arabia’s legal frameworks score stands at 50 out of 100, with the global average scoring 64.2. This signals legislative progress, though more work is needed to align with global standards. Notably, Saudi Arabia is ahead of the Middle East and North Africa region, where the average score is 38.6. More importantly, the “supportive frameworks” score of 36.7—the global average is 39.5—reveals a lack of adequate mechanisms to ensure the proper implementation of these laws, reflecting that Saudi Arabia lacks sufficient childcare services, a streamlined parental leave system, and government-led support for women entrepreneurs.
On a positive note, the report’s “expert opinion” score on gender equality practices—which is the third new score introduced in the 2024 expanded version of the World Bank report, along with the “legal framework” and “supportive framework” scores —shows Saudi Arabia’s score is significantly high at 85.6, compared to a global average of 65.7, indicating that professionals in the region perceive positive progress. These contrasting scores demonstrate a clear need for better policy instruments that transform legal victories into tangible outcomes for women across the kingdom.
Existing initiatives supporting women entrepreneurs
During the past few years, Saudi Arabia has also implemented several initiatives that support women entrepreneurs, aligning with some of the World Bank’s recommendations. Joint projects like the IGNITING Women’s Entrepreneurship and Innovation program and initiatives by the Small and Medium Enterprises General Authority (Monshaat), the Social Development Bank and the Talat Almara’a Initiative offer financial assistance, educational resources, and networking opportunities, aiding women-owned SMEs and micro-enterprises in Saudi Arabia and helping them overcome financial barriers to start or expand their businesses.
To address structural barriers, the Qurrah Program subsidizes up to 800 Saudi riyals per month ($213) per child for working mothers, helping them balance work and family commitments.Meanwhile, the Wusool Program provides transportation subsidies for women working in the private sector, covering 80 percent of transportation costs. While these initiatives are essential, the World Bank WBL report suggests that much more must be done to ensure women entrepreneurs can access the resources and support they need to thrive.
Bridging the gap between policy and practice
To fully capitalize on the reforms introduced under Vision 2030 and close the gap between policy and practice, Saudi Arabia can implement the following policy recommendations anchored in the WBL 2024 findings.
Strengthen legal protections for women’s safety and mobility
Introducing comprehensive legislation on domestic violence would help in addressing gender-based violence, an issue highlighted as a major global gap in the WBL 2024 report. These laws should be coupled with government-led monitoring bodies to ensure enforcement and an annual budget allocation for violence-prevention programs.Enhance parental leave and childcare support
One of the areas in Saudi Arabia’s supportive frameworks that could benefit from improvement is related to parenthood. There is currently lack of a centralized system for applying for maternity benefits and a lack of incentives for fathers to take paternity leave. Establishing a single-application government portal for maternity benefits would streamline access for working mothers. Furthermore, introducing incentives for paternity leave would balance the childcare burden and encourage greater workforce participation by women.Improve access to financial services
While existing programs address some barriers to finance, Saudi Arabia still lacks a comprehensive national strategy for women’s access to financial services. Developing a national financial-inclusion strategy that targets women across various sectors, including rural areas, and offering specialized financial products like microloans or gender-sensitive credit would enhance women’s economic participation.Promote gender equality in leadership
Although Saudi women can engage in entrepreneurship, there are no gender quotas for corporate boards and women remain underrepresented in senior management roles. Introducing gender quotas for corporate boards or incentivizing companies to hire women in leadership positions could help address this imbalance. Public-private partnerships could be established to train and mentor women leaders, equipping them with the skills necessary to advance in their careers.Publish sex-disaggregated data and monitor progress
A crucial gap identified by the WBL 2024 report is the need for more sex-disaggregated data in several key areas, including entrepreneurship, property ownership, and unpaid care work. Saudi Arabia should prioritize the regular collection and publication of sex-disaggregated data, which would provide critical insights for policymakers and help track progress in real time. Such data would also enable more tailored policy interventions that address the unique challenges faced by women in the workforce and business.
Saudi Arabia’s progress under Vision 2030 in advancing women’s rights and economic empowerment is impressive, but the journey is not yet over. By addressing the gaps highlighted in the World Bank’s WBL 2024 report and implementing targeted policies, Saudi Arabia can build on its achievements and create a more inclusive economy in which women play a central role. Empowering women not only supports Saudi Arabia’s economic growth but also aligns with its broader vision of modernization grounded in its cultural and religious values.
This article was originally published here.
Beata Polok is a research fellow at the Haqaiq Centre for Legal Studies at Prince Sultan University in Riyadh and an academic visitor at the Oxford Centre for Islamic Studies. She is also the Programme Director of the Law Department at Dar al-Hekma University.
Maha Akeel is a lecturer at the Department of International Relations at Dar al-Hekma University and an expert on gender equality issues. She is a former director of communication at the Organization of Islamic Cooperation.