Government regulation and financial support on housing delivery: lessons learned from the Saudi experience

Abstract

Purpose The purpose of this paper is to study the housing delivery in the Kingdom of Saudi Arabia (KSA) and to discuss the most significant government regulations and financial support that have been applied since the beginning of this century and especially during the past ten years, which constituted a qualitative leap in the housing sector in the country. Design/methodology/approach In this paper, the desktop study technique was used to review the key related literature, collect the data and analyze secondary data. This study used a mixed approach involving (1) literature search and review, (2) analysis of literature public documents and databases and (3) expert discussions. The content analysis technique was followed for data analysis of gathered documents and secondary data. This study used the three-step iterative process during the use of the content analysis technique. Findings The findings reveal that the demand for housing will continue to increase in the coming years with increase in population. The housing supply should not only match the demand but also should develop according to the social and economic characteristics of the population. Besides, the authorities have to both streamline and reinforce regulations pertaining to construction permits and building licenses. Nonetheless, the regulators are suggested to remain vigilant about potential fiscal and financial risks as the housing market develops. Research limitations/implications The opinions of policymakers and stakeholders are very important, but because of the time limitation it has not been explicitly addressed. Instead, discussions with select experts were carried out to validate the findings. Future research can assess the housing delivery based on the viewpoints of the policymakers, professionals, academics and stakeholders to have better insights and broaden the boundaries of knowledge in this field. Originality/value Similar studies in this field are limited, which makes this paper one of the pioneering attempts to study the current housing situation in the KSA and shed light on the most significant government regulations and financial support for housing delivery in the country.

Early impact of Covid-19 on private sector employees finance homeownership in Kingdom of Saudi Arabia

“…This can be achieved via a monitoring agency or unit to check the progress made to date (Alqahtany, 2021b). Findings agree with (VRO) Vision Realisation Office (2021).…”

“…Affordable housing in KSA vision 2030 is one of the programmes that support homeownership. The "Saudi vision 2030" was approved by the Saudi Council of Ministers on 25 April 2016, with the sets objectives to generate a lively system in which all KSA nationals can achieve their aspirations in a thriving national economy (Alqahtany, 2021a(Alqahtany, , 2021b.…”

“…If not, they are certainly worth investigating so that Saudi Vision 2030 regarding affordable housing may become a reality for all citizens. Though Alqahtany (2021aAlqahtany ( , 2021b identified the main challenges (inadequate land in urban location, high cost of construction, housing shortage and demographic changes) confronting achieving accessible homeownership in Saudi Arabia's Vision 2030, the impact of the pandemic was silent. This gap amongst others would be filled in this paper.…”

Influence of Saudi Vision 2030 on housing-related macroeconomic variables

“…The housing deficit has received increasing attention from the government for decades through various plans, programmes, policies and initiatives; similarly, it has also provided all the financial support required for this purpose. However, due to the above challenges, it was necessary to develop a modern roadmap that could address them (Alasmari, 2018; AlQahtany, 2021). On April 25, 2016, the Saudi Council of Ministers approved “Saudi Vision 2030”, which established far-reaching goals to create a vibrant society in which all citizens can realise their dreams and aspirations in a prosperous national economy.…”

“…Housing is a growing area of research as it constitutes a continuous and ongoing social challenge for governments worldwide. According to AlQahtany (2021), housing is one of the significant life requirements that every citizen seeks to obtain. Despite this, most countries in the world have not yet been able to adequately provide a radical solution to this crucial requirement.…”