This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS SECTION 01 OF 03 RIYADH 009441 
 
SIPDIS 
 
SIPDIS 
 
RIYADH PASS DHAHRAN 
 
DEPARTMENT FOR EB AND NEA/ARPI 
 
ECON 
 
E.O. 12958: N/A 
TAGS: ELAB ECON EFIN PHUM SA
SUBJECT: Saudi Women Push for Economic Opportunities at 
the Riyadh Economic Forum 
 
¶1. (U) Summary: The Second Riyadh Economic Forum (REF), 
held earlier this month, included a lively discussion 
of a study critical of the job and investment 
opportunities available to Saudi women.  The study 
acknowledges Saudi laws are on the books that are 
intended to create job opportunities for Saudi 
businesswomen, but criticized the absence of a reliable 
implementation mechanism to make them effective.  A 
related survey of 600,000 Saudi women confirmed that 
the majority believed restrictive Saudi social norms 
still limit their personal investment decisions, job 
opportunities, and ability to start their own 
businesses.  REF participants generally agreed there 
was a great need for technical and vocational training 
in order to adequately prepare Saudi women for the 
labor market.  End summary. 
 
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The Government's Heart is in the Right Place 
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¶2. (U) The second bi-annual REF, organized by the 
Riyadh Chamber of Commerce, provided Saudi women active 
in the business and labor sectors a forum in which to 
speak publicly about some of the obstacles they face. 
A panel discussion of a REF-commissioned study, 
entitled "Women's Participation in the Economy," and 
presented by prominent Saudi businesswoman Nadia 
Baashan, highlighted the gap between existing 
legislation to ensure women's opportunities and the 
government's implementation of that legislation. 
 
¶3. (U) The study focused primarily on the impact of two 
recent Council of Ministers' decisions:  number 63, 
dated May 13, 2005 and number 120, dated June 1, 2004. 
Ministers' Decision 63 established a high-ranking inter- 
agency committee to address women's issues, including 
economic opportunities.  Decision 120, also known as 
the Nine-Point Plan, is a comprehensive action plan to 
integrate Saudi women in the workforce.  It encourages 
Saudi government agencies to issue more commercial 
licenses for businesswomen and ordered the 
establishment of female departments in every government 
office, within a year of the decision's date, to ensure 
women could take advantage of government services and 
freely engage with government agencies.  The Decision 
also tasks the Council of Chambers of Commerce and 
Industry to work with the private sector to create job 
opportunities for Saudi women. 
 
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But Absent An Implementation Mechanism 
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¶4. (U) While the REF study acknowledges that some 
progress has been made; it generally characterizes 
implementation of the two decisions' initiatives as 
slow and short of expectations.  The Ministry of 
Commerce and Industry, for example, set up a women-only 
department to serve Saudi businesswomen, yet this 
department remains understaffed and dependent on the 
existing men's section, which limits the ability of 
some Saudi businesswomen - unable to deal with a men- 
only office - to interact with the ministry.  The 
Ministry of Labor only recently issued a decision to 
set up women's labor offices in Riyadh, Jeddah and 
Dhahran.  The one Saudi government agency that has made 
the most progress in setting up a separate department 
to assist businesswomen, the Saudi Arabian General 
Investment Authority, caters only to the needs of 
foreign businesswomen.  Dr. Baashan stressed that Saudi 
women need a government mechanism to ensure the 
effective implementation of government decisions 
intended to facilitate investments and open up new job 
opportunities. 
 
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Has the World Really Changed for Saudi Women? 
--------------------------------------------- 
 
¶5. (U)The study, citing Ministry of Civil Service 
statistics, found that Saudi women comprise 30 percent 
of the government workforce.  Almost all of these women 
work in the educational and health sectors or hold 
administrative jobs in the same areas.  Saudi women's 
participation in the private sector is estimated at 
0.58 percent.  Saudi women's participation in the total 
workforce remains at 7 percent, according to a 2004 GCC 
statistic.  The study did indicate, however, that 
commercial registrations for businesses owned or with 
substantial equity ownership by women increased 45 
percent from 2003 to 2005.  Women have also opted to 
invest in the stock market.  According to the Saudi 
Capital Market Authority, the number of female-owned 
investment portfolios increased from 14,750 in 2002 to 
155,552 in 2004.  (Embassy comment: It is estimated 
that Saudi women - often through inheritance from their 
spouses - own more than 50 percent of existing bank 
deposits and assets in Saudi Arabia.  End comment). 
 
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A Long Way to go 
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¶6. (U) The study included a survey of 600,000 business 
and working women in Riyadh, Jeddah and Dhahran.  Most 
of the business and working women surveyed strongly 
agreed that they have the freedom to acquire financial 
assets, property and stocks on an individual basis. 
But those surveyed also agreed that that investment 
loans and capital are not available to businesswomen in 
sectors such as real estate, agriculture, and 
industrial production.  Most business and working women 
lamented that that they still do not have the ability 
to independently process necessary paperwork in Saudi 
government offices.  The surveyed working women agreed 
that there is a lack of adequate business and 
vocational training for women and a mismatch between 
the available training and the labor market's needs. 
Both business and working women agreed that their 
investment decisions are still largely affected by 
social restrictions. 
 
¶7. (SBU) Among the panelists at the REF commenting on 
the study were Princess Jawhara bin Fahad Al Saud, 
Assistant Deputy Director of Education Affairs at the 
Saudi Ministry of Education, and prominent 
businesswoman Lama Al-Akkad.  The princess told the 
participants that there is a real need to offer Saudi 
women, in particular, the kind of business and 
vocational training that meets the needs of the labor 
market.   Closer cooperation between the Chambers of 
Commerce and Industry and Saudi training institutions 
would help match training programs with actual private 
sector needs.  Jawhara also called for the 
establishment of a high-level government authority or 
ombudsman to monitor how well government decisions 
related to women are being implemented. 
 
 
¶8. (SBU) Prominent businesswoman Lama Al-Akkad spoke of 
the need for private and public lending institutions to 
support women entrepreneurs.  She agreed that Saudi 
women need more technical and vocational training 
centers.  She also called for participation by women in 
the government's decision-making process when the 
decisions relate to women's issues. 
 
¶9. (SBU) Alia Al-Shilhoub, a prominent economic 
journalist, remarked that Saudi women still face social 
restrictions that undermine their ability to function 
independently.  She cited as an example the fact that 
Saudi businesswomen still need a male agent to process 
transactions at most government agencies on their 
behalf.  Dr. Baashan pointed out that Saudi 
businesswomen are left at the mercy of working-level 
government employees who take it upon themselves to 
issue their own fatwa-like edicts about which sectors 
are appropriate for investment by women. 
 
¶10. (SBU) There was support for greater female 
participation in the economy from male participants at 
the REF as well. One male attendee from Jeddah remarked 
that as long as Saudi Arabia's social norms require 
women to be hidden in the backroom, there is little 
hope that Saudi women will make a real contribution to 
the economy.  Another male lawyer pointed out that 
Islam has four main schools of thought, and while Saudi 
Arabia has always followed the most conservative of the 
four, it is time to consider a more liberal approach in 
order to enable Saudi women to function effectively. 
 
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Comment 
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¶11. (SBU)  Saudi business and working women still face 
huge social obstacles, which limit job opportunities 
and investment choices available to them.  The rush to 
invest in the stock market over the past two years 
among a large segment of Saudi women is an indication 
of the interest and growing savvy of Saudi women in 
economic and personal fianc issues, but the road to 
actual business ownership and entrepreneurship is still 
lined with obstacles.  The current economic and 
political climate offers an opportunity for Saudi 
business and working women to push for much-needed 
change and more effective implementation of existing 
laws.  The open and spirited dialogue on the issue of 
women's economic opportunities at the RED was an 
indication that the issues are on the table and a 
healthy discussion underway. 
 
GFOELLER