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Yasir Al-Rumayyan, Chairman of the board of directors of Saudi Aramco
Yasir Al-Rumayyan, Chairman of the board of directors of Saudi Aramco, said that the investments in the IKTVA program so far attracted an estimated capital expenditure (capex) of $7 billion, contributing around $100 billion to the Saudi economy.
During his speech at the IKTVA Forum 2022, Al-Rumayyan said that this is helping to create a competitive industrial base in the Kingdom that is now exporting to more than 40 countries.
IKTVA resulted in a rise in both the volume and the variety of products that are currently ‘Made in Saudi Arabia’. The localization of goods and services through the program created an ecosystem that is delivering critical support to the Kingdom’s industrialization efforts.
This in turn is helping the country meet many other goals outlined by Vision 2030, he further added.
Since the program was launched in 2015, local content in Saudi Aramco’s supply chain increased from 35% to almost 60% at the last count, thus creating a more efficient, reliable, and stronger supply chain for the company.
“IKTVA is serving to support not only Vision 2030, but also the world’s energy security. Having a reliable and efficient supply chain is critical for the company and absolutely vital for all economies, including the Kingdom,” Al-Rumayyan said.
IKTVA-related employment of Saudis increased by 50%, in addition to the establishment of National Training Centers resulting in some 33,000 locals graduating with new skills.
The establishment of a hub to pioneer new technologies and services in the non-metallic industry is expected to contribute an estimated $10 billion to the Kingdom’s GDP by 2030, the Chairman noted.
“IKTVA is providing a number of broad benefits, with achievements including, but not limited to improving in-Kingdom capabilities – with everything from drilling chemicals to non-metallic rebar – now being manufactured here for the first time,” Al-Rumayyan said.
IKTVA is providing a catalyst for innovation within the Kingdom, with Aramco suppliers having, so far, quadrupled their research and development (R&D) spend in Saudi Arabia, from $21 million to $91 million.
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