TMCnet News
Makkah Chamber flays competition from public sector in real estate development [Saudi Gazette, The](Saudi Gazette, The Via Acquire Media NewsEdge) Badea Abu Al-Naja Saudi Gazette MAKKAH - The head of the Makkah Chamber of Commerce and Industry (MCCI) has said the Kingdom's private sector has been facing unhealthy competition from the government sector in the field of real estate development all over the country, particularly in the holy city. Maher Saleh Jamal, chairman of the MCCI board of directors, said this was against the Kingdom's free market economic policies and in clear violation of the provisions of the five-year development plans. "All five-year development plans approved by the government of the Custodian of the Two Holy Mosques clearly stressed the importance of supporting the private sector. They also emphasized its role in the country's development because the productivity of the private sector is higher than that of the public sector," Jamal said. The MCCI recently met with a number of investors to discuss such fears that surfaced lately as well as concerns about the flight of capital from the real estate sector. "Most of the modern economic trends support privatization and not the opposite," Jamal told the meeting, citing several examples of privatization in the Kingdom. He said the creation of Saudi Telecom Company (STC) and the entry of rival service providers have eventually led to improving services through competition. Jamal said direct competition from some public sector institutions is harming the interests of private sector companies and individuals who have invested in the sector. "This does not conform with the vision of Custodian of the Two Holy Mosques King Abdullah, who has been calling for providing the best possible services to the citizens and safeguarding their savings," he added. Ihab Abdullah Mashat, deputy chairman of the MCCI board, said the chamber will play its effective role in meetings with investors in the future. He emphasized that the chamber is a forum of investors and businessmen and it will continue to "support what serves their interests". (c) 2014 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info). |