C. Cross-points with other VRPs

Trade-offs/ Interdependencies

Relevant Programs

Strategic Decisions

Increase local organizations' participation in privatization

• National Companies Promotion Program

• Privatization is equally open to both foreign and domestic investors, However, supporting SMEs participation in the privatization process has been discussed (e.g. supporting SMEs and local content) while taking into consideration the importance of assessing regulator)/ requirements and potential impact in light of international treaties and trade agreements.

There is no scope overlap or interdependencies identified with the Strategic Partnerships Program

• Strategic Partnerships Program

• Possible trade-offs and interdependencies should be reassessed as both programs progress.

Participation in the capital markets development initiative

• Financial Sector Development Program

• Once the privatization method has been defined by the PSCs, there will be opportunities for private sector participation that will help in the development of the financial sector.

•

Capital market

• Financial Sector Development Program

• There are opportunities to list financial securities in the stock market after the PSCs perform full evaluation of the privatization projects. There are also opportunities to increase IPOs.

Implementation of privatization program aligned with government's fiscal plans.

• Fiscal Balance Program

• Fiscal balance Program will continuous!)/ get updates on sectors and entities strategies and align on level and timing of fiscal support (if needed) should be reflected in the fiscal plans.

• Financial contribution from the Program will help in achieving the goals of the Fiscal Balance Program

Support the Program through introducing reforms to selected industrial and logistic sectors

• National Industrial Development and Logistics Program (NIDLP)

• Importance of alignment between privatization VRP and NIDLP.

Privatization of some assets

• PIF Program

• National Companies Promotion Program

• National Industrial Development and Logistics Program (NIDLP)

• Continues alignment between PSCs and other VRPs

Set of assets for privatization

• National Companies Promotion

• National Industrial Development and Logistics Program

• PIF

• Ongoing alignment between these VRPs and the PSCs via relevant initiatives.

Some Housing initiatives enabled through PPP might be relevant for both Privatization and Housing Program

• The Housing Program

• initiatives whose main objective is to build affordable housing on government residential real estates, fall under the Housing Program and execution mechanism of the Privatization will be utilized.

Interdependencies: improve the effectiveness and efficiency of municipal and social services through the privatization of some government services

• National Transformation Program

• Add municipal and social services within the priorities of the privatization program (via relevant initiatives).

Potential interdependencies may exist for the following shared strategic objectives:

• 2.1.1 Ease the access to healthcare services (e.g. Trade-offs/ Interdependencies geographical locations, availability, financial cost)

• 2.1.2 Improve the value obtained from healthcare services (quality of outcomes, experiences, and cost)

• 2.3.1 Improve the quality of services provided in Saudi cities (utilities, public transports, etc.)

• 2.3.4 Enhance traffic safety

• 2.4.1 Reduce all types of pollution (e.g. air, noise, water and soil contamination)

• 3.1.1 Ease of doing business (mainly regulatory aspects)

• 3.1.6 Attract FDI (foreign direct investment)

• 4.3.2 Maximize SMEs contribution to the economy

• 5.2.3 Improve productivity of government employees

• 5.2.5 Improve quality of services provided to citizens

• 5.4.2 Ensure sustainable use of water resources

• National Transformation Program

• Once the privatization sector strategies and initiatives are detailed by PSCs and the NTP initiatives are detailed, then potential interdependencies should be assessed.

Public sector employees affected by the transition to the public sector.

• National Transformation Program

• Privatization Program will inform the National Transformation Program (MLSD, HRDF, MOE) on expected unemployment/transition impacts on public employees to the private sector

Published information about initiatives can be a key enabler for attracting foreign capital required for privatization

• National Transformation Program

• Privatization initiatives to be published on the atlas portal in Q4 2017 to allow increased access to FDI.

There are no interdependencies nor trade-offs identified with the Quality of Life Program. However, the Privatization VRP will create synergies for this VRP through the initiatives "Privatize Saudi Sports Clubs" and "MOMRA asset optimization PPP"

• Quality of Life Program

• Continues updates of interdependencies and trade-offs

As of now, there is no scope overlap or interdependencies identified with the Saudi Character Enrichment Program

• Saudi Character Enrichment Program

• Once the initiatives of the Saudi Character Enrichment program are further detailed, possible trade-offs and interdependencies should be reassessed.

There is no scope overlap identified with the Dhuyuf Ar Rahman VRP. However, the program does have some initiatives with privatization elements, which may require support from NCP

• Dhuyuf Ar Rahman Program

• Once the initiatives of this VRP are further detailed, possible trade-offs and interdependencies should be reassessed.