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FINANCIAL NEWS
25% of Saudi GDP comes from family businesses
25 Jul 2012
(MENAFN) Jeddah Chamber of Commerce and Industry’s (JCCI) Chairman, Saleh Kamel, stated that family businesses account for 25 percent of the Kingdom’s gross domestic product (GDP), reported Arab News.
Kamel said that at the current time, only 156 family business of the total 5,000 family businesses that exist in the country are listed on the Saudi bourse.
He added that even though transforming family businesses to joint stock firms would open new investment opportunities for them and boost their businesses, however, inheritance, technical troubles and fear of losing family revenue remain obstacles restraining these businesses from becoming joint stock companies.
It is worth noting that companies listed on the Saudi bourse have an estimated market value of USD346 billion, according to Tadawul’s CEO, Abdullah Al-Suwailemi.
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