Saudi Arabia Contractor Information

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1 Saudi Arabia Contractor Information Contents 1. Introduction to Saudi Arabia Places Climate Transport Culture Practical information History Work Economy Contacts...9 1

2 Introduction to Saudi Arabia Fast Facts Saudi Arabia is a Kingdom that covers approximately 2,240,000 square kilometers of the Arabian Peninsula. The coastline on the western side along the Red Sea is 1700 km. The coastline on the east side along the Arabian Gulf is 560km. There are over 2,700km of land borders in the North and South. Saudi Arabia s government is an absolute monarchy. King Abdullah Bin Abdul Aziz is the head of the monarchy, custodian of the Two Holy Mosques and Head of State. Assisting him in his duties is the Crown Prince, Prince Sultan Bin Abdul Aziz, who is Deputy Prime Minister, Minister of Defence and Aviation, and Inspector General and other ministers who are appointed to the Saudi Arabia Council of Members. The country s topography is varied, ranging from wide plains, deserts, valleys, mountains and plateaus. Capital City: Riyadh Area: 2.15 million square kilometres Population: 25,700,000 (UN, 2010) People: Arabs; 7 million of the total population are foreign workers Languages: The official language is Arabic, although English is widely spoken in business circles Religion: Islam; about 90% of the Muslim population is Sunni and 10% is Shi a. Publicly practising any other religion is illegal Currency: Saudi Riyal (SAR) Major political parties: Political parties are not permitted Government: Monarchy Head of State and Prime Minister: King Abdullah bin Abdul Aziz Al Saud, Custodian of the Two Holy Mosques First Deputy Prime Minister: His Royal Highness Crown Prince Sultan bin Abdul Aziz Al Saud Second Deputy Prime Minister: His Royal Highness Prince Naif bin Abdul Aziz Al Saud Foreign Minister: His Royal Highness Prince Saud al Faisal bin Abdul Aziz Membership of international groups/organisations: World Trade Organisation, Arab League, Gulf Cooperation Council, Organisation of the Islamic Conference and United Nations and Organisation of Petroleum Exporting Countries, IMF and World Bank Location of Saudi Arabia Features include: The Empty Quarter (Al-Rub Al Khali) desert. The Eastern plateaus and plains. The Northern mountains and plateaus. The Najd plateaus of the Central Region. The Western highlands. The Tihama plains in the southwest. Widespread mountain and desert valleys. Saudi Arabia Law Saudi sharia laws and moral standards are considerably stricter than those of the UK for example and that in certain cases, notably involving dress, drink and moral behaviour, what is not a crime in Britain is treated as a crime in Saudi Arabia. Alcohol, drugs, public practice of non muslim religion, homosexuality, playing music in public and indiscrete behaviour etc. are illegal and carry severe punishments. 2 Flag: The flag of Saudi Arabia bears the Muslim creed: There is no God but God: Muhammad is the Messenger of God. The official emblem is a date palm, representing vitality and growth, and two crossed swords, symbolising justice and strength rooted in faith Electricity: 110V (Riyadh), 110/220V (Jeddah), 220V elsewhere; plug types A, C, D, G all used Calling Code: 966 Internet: TLD.sa Time Zone: GMT+3 Work week: Sat Wed (weekends are Thursday and Friday)

3 Places The table below shows the cities in Saudi Arabia. Riyadh, Jeddah and Makkah are the three most populous cities. The smallest city is Qurayyat with 100,000 people. CITY POPULATION CITY POPULATION Riyadh 4.0 million Al Jubayl 200,000 Jeddah 2.3 million Khubar 200,000 Makkah 1.4 million Hafar Al-Batin 190,000 Madinah 870,000 Thuqbah 180,000 Dammam 690,000 Yanbu 170,000 At Taif 590,000 Al Abha 160,000 Tabouk 350,000 Arar 150,000 Buraydah 350,000 Al Qatif 140,000 Hufuf 320,000 Najran 130,000 Mubarraz 310,000 Unayzah 130,000 Khamis Mushayt 300,000 Hawiyah 130,000 Hail 250,000 Dhahran 105,000 Al Kharj 220,000 Qurayyat 100,000 Al Faisaliah tower in Riyadh All figures are 2003 estimates Climate The climate in Saudi Arabia is dry all year round. The summers are hot and dry and the winters are mild on the coast and fresher further inland. The country is very hot from mid April to October where average daily temperatures top 40 Celsius coupled with high humidity in coastal regions. Between November and February the temperature is pleasant. Winter in Saudi Arabia falls between December and January and during this time temperatures in the main cities except Jeddah will be in the teens during the day but may hit zero degrees in places overnight. Between October and April the west of the country see s a moderate rain season in coastal regions. The north and south climate is desert. Clockwise from top left: Camel beside the Red Sea, View to the coastline of Red Sea from coral reef, Palm garden in Riyadh city, Dhow at low tide in Arabian Gulf. 3

4 Transport Airlines There are many airlines that fly to Saudi Arabia. Airlines flying direct from the UK are: Saudi Arabian Airlines British Airways Bmi Saudi 747 coming in to land Local Airport Saudi Arabia is served by four international airports: King Fahd International Airport in the city of Dammam in the Eastern province of the country King Abdulaziz International Airport in the city of Jeddah serving Makkah (Mecca) province King Khalid International Airport in Jeddah Prince Mohammad Bin Abdulaziz International Airport in the city of Medina (Madinah) serving Al Madinah province There are also 6 regional airports: Abha Regional Airport Qassim Regional Airport Jizan Regional Airport Ha il Regional Airport Tabuk Regional Airport Ta if Regional Airport There are also domestic airports and Aramco airports in the country. Getting around By Sea: The ferry services are modern, well kept and professionally run. The cabins have air conditioning. There are ferries that operate between Saudi Arabia and Egypt, Jeddah and Suez, Duba and Port Safaga with first, second and third class travel options. There are boats that travel from Jeddah to Suwaqih in Sudan. By Land: When crossing Saudi Arabia s land borders visas may be required for the countries wishing to be entered. There can be long queues some as long as 12 hours at border crossings such as Halat Ammar during haj and Ramadan. Saudi Arabia s bus company is called Saudi Arabia Public Transport Company (SAPTCO). The buses are comfortable, clean, air conditioned and well maintained. The company has a good safety record. All of their busses have an on board toilet and make stops every few hours. SAPTCO offers an international bus service servicing routes around the region that are also serviced by surrounding countries for similar prices. SAPTCO bus services primarily depart from Riyadh, Jeddah and Dammam. Pilgrims in Saudi Arabia When travelling by car or motorcycle in order to avoid queues at busy times it may be better to travel early or late. Borders are open 24 hours a day. If driving someone else s car, obtain written permission from the owner to do so. Women are not permitted to drive by law and so need a driver if hiring a car. International and local car hire agencies can be found in the larger towns. There is an approximate discount of 30% for a rental of a month or more. Car hire prices stay the same throughout the year, but the local companies tend to be significantly cheaper. It is important to check that full insurance is covered in the rental costs. By Train: Trains travel between Riyad and Dammam via Al-Hofuf. Travel Tips In order to purchase tickets, visitors will need to show their passports and expats their iqama (residence permit). Foreign women travelling alone must take their iqama (residence permit) if an expat, or passport and visa if a tourist. You will need to show your passport (visitors) or iqama (expats) when buying travel tickets. On buses, the front seats are usually unofficially reserved for families and women travelling unaccompanied, and the back half for men. It can be more reliable to buy tickets from SAPTCO direct rather than from their agents. Reservations must be made in advance of departure, anywhere between 24 hours and 90 days for domestic journeys. Tickets can be bought six months in advance for International travel. Road trough the desert Riyadh-Mecca highway in Saudi Arabia 4

5 Culture Dress Code There is no absolutely correct dress code for Saudi Arabia: the best way for both men and women to avoid getting into difficulties is to dress conservatively in public. Due to the conservative culture modest professional dress always makes the best impression. Non Saudi women should wear an abaya and some also decide to cover their hair in order to avoid confrontation with the Mutawwa (or religious police) who patrol the suqs (markets) and shopping centres and who often challenge women on this point. For women, it is recommended that when out and about, they carry a scarf. It is not suggested they must cover their head but it is a wise idea to have one in the event of an unexpected scenario such as coming face-to-face with a mutawwa. A non Saudi woman may wear a business suit whether with slacks or long skirt (to the ankles). Non Saudi men could wear the traditional Saudi dress of thobe, smaugh and ghutra or opt for the traditional western suit with tie. Men should not wear shorts in public. The dresscode for different situations can vary e.g. work, reception/function, in the compound or shopping. Greetings Between Muslims, the most common greeting is a handshake and the phrase As-Salaamu Alaykum (Peace be upon you). Frequently, males will follow up by extending the left hand to each other s right shoulder and kissing the right and left cheeks. The greeting used depends on the individuals relationship and status in society. When accompanied by a woman wearing a veil, a man normally will not introduce her, and one does not expect to shake hands with her. The term for Good morning is Sabah al-khair, and for Good evening it is Mesah al-khair. Muslim pilgrims circumambulate the Kaaba from ground floor of Haram Mosque Arabs selling fresh dates at dates bazaar in Medina Customs and Etiquettes Do expect: Arabs to sit, talk and stand closer than is usual in the West To be touched more frequently by members of the same sex, it is an expression of friendship Accept as normal the occasional use of influential connections to accomplish tasks more quickly To shake hand more frequently, it is expected that on entering a room, you will shake hands with all males present except small children and on social occasions to shake hands again when leaving To accept gifts. It is considered rude to refuse a gift, if pressed more than twice, accept the gift or other offered item with the right hand as the left hand is considered unclean Not all promises and decisions to be put in writing. In some situations an oral promise will have to be accepted. The reason for this is that the written word is considered to have a greater meaning than Westerner s are accustomed to To sometimes be given an indirect answer of Insha Allah (God willing). Insha Allah usually indicates the good intentions of the speaker Some subject topics are considered inappropriate or unacceptable for discussion in public such as political issues, religion, alcohol, total women s liberation, abortion and male-female relationships such as dating. Many people are sensitive about these tops and discussing them could cause problems It is considered discourteous to show the soles of one s feet to an Arab as they are considered Dirty, care must be taken in how you sit. 5

6 Practical information It is only over the last six years that the Saudi authorities have issued tourist visas for those travelling as a group of four at a minimum by either an approved international or local Saudi tour company. These tourist visas take 14 days from request to issue. To obtain a tourist visa passports must be valid for a minimum of six months. Women under 30 must travel with their husband or brother and they must arrive and leave the country at the same time. It is not permitted for an unmarried couple to travel together unaccompanied. People travelling this way could be apprehended by the authorities. Money and Costs Money can be withdrawn from banks with ATMs using international cards. Money changing facilities offered by bureaus may give a better rate than a bank. Exchange desks in high end hotels tend to offer poor exchange rates. The Riyal is pegged to the US dollar, with 1 US dollar equal to 3.75 Riyals. The Riyal (currency code SAR) is the currency of Saudi Arabia. One Riyal is made up of 100 Halalas. The denominations of Halala coins are 1,5,10,25,50. Riyals come in 1,5,10,50,100 and 500 Riyal denominations. The fifth series of the Saudi Arabian Riyal are shown below: Schools The details of a selection of seven International Schools in Saudi Arabia are show below: Asir Academy SAIS-Dhahran District American Consulate General Box R Unit APO, AE Phone: (07) X4086 Fax: (07) X4083 Dhahran Academy Elementary School Unit APO, NY Phone: X3353 Fax: Dhahran Academy Junior High School Sau. Arab. Intl. School- Dhahran Dist. P.O. Box 677 Dhahran 31932, Phone: Fax: Dhahran British Grammar School Dhahran British Grammar School, PO Box 31677, Al-Khobar 31952, Saudi Arabia Tel Ext 2003 Fax Ext brparents@isgdh.org Jubail Academy International School P.O. Box Madinat Al Jubail Al Sinaiyah Jubail 31961, Phone: Fax: Taif Academy Unit APO, AE Phone: , EXT. 2286/5 Fax: X2285 Yanbu International School P.O. Box Yanbu Al-Sinaiyah, Phone: Fax: l.htm

7 Real Estate and Housing in Saudi Arabia Homes in Saudi Arabia What you should expect The local Saudi Arabia and expatriate populations tend not to live together. The Arab culture of extended families calls for large houses, and affluent families usually own detached villas. As such, villas are common with up to three generations living together amongst locals. In addition, the less well-off prefer houses to apartments. Saudi Arabia are well provided for in relation to housing. For example, young newly-married couples are given lowcost loans and in some states these turn out to be gifts if the loans are not repaid within a particular time limit. Foreign workers tend to live in what are known as compounds. Compounds refer to a group of houses or small, usually low-level, apartment blocks within a walled enclosure, similar to a private estate. Some compounds are relatively large, and accommodation is usually available due to the continual movement of expatriates. D Compounds will have varying combinations of nationalities. Some have a cosmopolitan mix, whilst others contain people from one nation only or perhaps from one social group or caste. Therefore, it is advisable to ask about the community living within the compound before securing a place to live. Depending on the size of the compound, the facilities may include a communal swimming pool, a restaurant and shop, tennis and squash courts and a gymnasium. Children might be catered for with a play area and there might be a form of community hall known as a majlis the traditional Arab meeting area for visitors. Many compound houses are built in majlis style, with an area opening immediately from the front door where the men meet visitors and sit with them. The rest of the accommodation is to the side or rear. (In Arab houses, women aren t seen unless the visitors are close relatives.) Saudi Arabian expatriate life is invariably in compounds, and the choice of compound is very important, as you will spend most of your leisure time within its confines. The exterior and interior quality of buildings is high throughout the region, and improving as prospective landlords vie with each other to have the most attractive buildings. The average property is also more spacious than its equivalent in Europe or the USA. Rooms are generally large in all types of accommodation. Villas normally have generous patios and/or gardens, while apartment blocks have a swimming pool and gymnasium. Homes normally also have a better level and quality of maintenance than in western countries, due to the wide availability of low-paid labour. A garage or covered carport for your vehicle is vital. With temperatures rising to 50 C (122F) in the summer, a car left outside quickly becomes unbearably hot and the bodywork deteriorates if exposed to the sun for too long. Most new apartment blocks have underground car parking facilities and allocated spaces. Villas tend to have an attached or separate garage, or at least a carport. History Overview Saudi Arabia was founded in 1932 with the union of the kingdoms of the Hejaz and Nejd. Although the territory within the Kingdom of Saudi Arabia s boundaries is largely arid desert or rocky infertile terrain - home for much of its history to tribal nomadic societies with only rudimentary state structures - it has twice in world history had a global impact. The first was in the 7th century when it became the cradle of Islam. The second was from the mid-20th century when the discovery of vast oil deposits propelled it into a key economic and geo-political role. At other times, the region existed in relative obscurity and isolation, although from the 7th century the cities of Mecca and Medina had the highest spiritual significance for the Islamic world, Mecca being the destination for the Hajj annual pilgrimage. Nabawi Mosque in Medina is the second holiest mosque in Islam Mecca at night 7

8 Early Saudi Arabia Except for a few major cities and oases, the harsh climate historically prevented much settlement of the Arabian Peninsula. People of various cultures have lived in the peninsula over a span of more than 5,000 years. The Dilmun culture, along the Gulf coast, was contemporaneous with the Sumerians and ancient Egyptians, and most of the empires of the ancient world traded with the states that existed on the peninsula, which lay along important trade routes. The Saudi state began in central Arabia in about A local ruler, Muhammad bin Saud, joined forces with an Islamic reformer, Muhammad Abd Al-Wahhab, to create a new political entity. Over the next 150 years, the fortunes of the Saud family rose and fell several times as Saudi rulers contended with Egypt, the Ottoman Empire, and other Arabian families for control on the peninsula. The modern Saudi kingdom was founded by the late King Abdul Aziz Al Saud (known internationally as Ibn Saud, or Son of Saud ). In 1902, Abdul Aziz recaptured Riyadh, the Al Saud dynasty s ancestral capital, from the rival Al- Rashid family. Continuing his conquests, Abdul Aziz subdued Al-Hasa in the east, the rest of the central Nejd region, and the Hijaz along the Red Sea coast between 1913 and Modern Saudi Arabia Modern Saudi Arabia was formed in 1932 when King Abdul Aziz bin Abdul Rahman Al Saud, commonly referred to as Ibn Saud, united different regions of the Arabian Peninsula into one nation. On 23 September 1932, Abdul Aziz was proclaimed King, and since then all Saudi Arabia s rulers have been his descendants. During his rule, King Abdul Aziz laid the foundations for the modernisation of his country. He began to build its infrastructure: first establishing roads, and basic communications systems, and later introducing modern technology and improvements to education, health care, and agriculture. King Abdul Aziz died in November 1953, and his eldest surviving son, Crown Prince Saud bin Abdul Aziz, succeeded him. The new King s brother, Faisal bin Abdul Aziz, became Crown Prince. King Saud established the Council of Ministers and the Ministries of Health, Education and Commerce. In 1964, the Crown Prince succeeded to the throne as King Faisal and, to deepen links between Islamic nations, he travelled throughout the Arab and Islamic world. King Faisal s half-brother s son, Faisal bin Musai d, assassinated him in King Faisal s brother, Khalid bin Abdul Aziz, succeeded him and reigned until his own death, from a heart attack, in King Khalid s brother, Fahd, who had become Crown Prince on King Faisal s death, succeeded him. In 1986, King Fahd took the title Custodian of the Two Holy Mosques. Crown Prince Abdullah became King on 1 August 2005 after King Fahd s death. The current Crown Prince, Prince Sultan bin Abdul Aziz, is King Abdullah s half-brother. Work Business hours Opening hours vary according to the season and province. In general: Banks: 8.30am to noon and 4.30pm to 8pm Saturday to Wednesday. At airports, banks are open 24 hours Offices: 7.30am to 2.30pm or 3.30pm Saturday to Wednesday Post offices: 7.30am to 10pm Saturday to Wednesday, 4.30pm to 10pm Friday Restaurants: 7am to 10.30am, noon to 3pm and 6pm or 7pm to midnight (to 1am or 2am at weekends) Shopping centres: 9am or 10am to midnight Saturday to Thursday Shops & souqs: 8am or 9am to 1pm or 2pm and 4.30pm or 5pm to 9pm to midnight, Saturday to Wednesday Note that during prayer times (five times a day), everything shuts. 8

9 Economy Saudi Arabia s economy is petroleumbased with 89% of budget revenues and 85% of export earnings come from the oil industry. Saudi Arabia officially has about 260 billion barrels of oil reserves, comprising about one-fifth of the world s proven total petroleum reserves. Saudi Arabia is by far the largest world exporter of oil. Oil was discovered in 1938, and the then US-controlled Aramco (Arabian American Oil Company) began production. Saudi Aramco, nationalised since the 1980s, controls all onshore oil and has the largest reserve base of any company in the Exporting Countries (OPEC); it has always been the dominant player within OPEC in adjusting production in line with market stability. Large oil earnings, particularly since the oil price rises of the early 1970s, have allowed the Government to spend heavily on its fast growing population and on building the infrastructure of a modern economy. The Saudi economy is thus heavily dependent on oil earnings for the Government spending they make possible. It remains vulnerable to fluctuations in the oil price. The Government recognises that Saudi Arabia needs to do more to diversify its economy away from oil. Saudi Arabia s 5 Year Plan outlines its efforts to expand the private sector particularly in manufacturing, financial services, mining and tourism. Several other economic plans exist such as the National Industrial Strategy and National Industrial Clusters Programme, all aimed at expanding Saudi Arabia s manufacturing base. Foreign workers make up 90% of private sector workforce. But with a rapid increase in the Saudi population, government policy is now focussing on the need to create more jobs for young Saudis. The Saudi Ministry of Labour has focussed on a Saudisation policy aimed at incentivising private sector companies to hire more Saudis. Economic reform continues: moves in recent years include opening some previously closed sectors of the economy, such as the gas and mining industry, to investment by foreign companies. Upstream oil remains closed to foreign investment. In 2005 Saudi Arabia joined the World Trade Organisation. Basic Economic Facts Proven oil reserves (January 2011): bn barrels Proven oil reserves as share of world total:...20% Oil production (2011):...8.8mbd Oil production as share of world total (2011):...12% GDP (2009 est.):...us$578.6bn Population including expatriates (2010): million GDP per head (2009 est.):...us$21,690 Annual growth rate in real GDP (2010):...0.6% Major sectors:...oil, petrochemicals, financial services, construction Major destinations for Saudi exports (2009):...Japan, South Korea, the US, China, India, Taiwan, Singapore Major exporters to Saudi Arabia (2009):...the US, China, Germany, Japan, South Korea, India, the UK and France Exchange Rate (average 2011):... 1=6 Saudi Riyals (US$1=3.75 Saudi Riyals) Contacts Emergencies Police: 999 Fire: 998 Ambulance: 997 Traffic Accident: 993 Rescue Emergency: 911 Talascend Saudi Arabia Country Contact: matt.wolstenholme@talascend.com Information/ Maintenance International Information: 900 Telephone Maintenance: 904 Telephone Directory Information: 905 Speaking Clock: 961 or 963 9

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