The decision to operate public transport networks by buses as a first stage in some cities and provinces of Saudi Arabia has opened up a wider horizon for investment and improving the quality of life for residents and citizens.
Investors are expected to prepare themselves to partake in the Kingdom’s vital sector, public transport.
A few days ago, the Saudi Cabinet took a number of decisions which will facilitate franchise investment in public transport and the operating of buses as a start in some Saudi cities and provinces.
“It is expected that there will be new investors in this vital sector,” economic adviser Ghanem al-Salim told Asharq Al-Awsat.
“We may see a conglomerate of investors gaining franchise in this important area. This will contribute positively to increasing the transport sector’s contribution to GDP,” he added.
Transport Minister Nabeel Al-Amoudi, for his part, confirmed that the Cabinet approval had focused on medium and small cities and prioritized population density, average household income and vehicle ownership ratio.
This will aid in the development of all parts of the Kingdom as public transport is considered essential to modern cities thanks to its direct contribution in facilitating the mobility of all components of society.
Amoudi stressed that the General Transport Authority will move to implement the approval in coordination with local authorities and development commissions. He added that work is also underway to provide the necessary funding to promote such vital projects with concerned authorities.
On the other hand, the General Transport Authority is organizing and developing land, sea and rail transport facilities in order to back an efficient, high quality and cost-effective transport environment.
Works are being based on the latest technologies to enhance investment opportunities and to achieve economic and social development objectives.
