The Ministry of National Economy expected the manufacturing sector to grow by 2.5% in gross domestic product, rising from 11.2% to 13.7% during the next six years, as a result of the National Policy for Industry interventions approved by the Council of Ministers.
It is expected, according to a statement issued by the Ministry on Tuesday, that the growth of the manufacturing sector will accommodate 79,000 new job opportunities, rising from 139,000 workers to 218,000 workers during the period (2023-2029), in addition to pumping investments worth $486 million to expand production capabilities. For existing companies or green investments.
The cost of implementing the industrial policy is estimated at about $180 million, half of which covers infrastructure costs and financing costs, which were studied and taken into account within existing programs such as the sustainability program for financing small and medium enterprises.
It determines, in partnership between the public and private sectors, the general policies that the government will be committed to implementing in order to develop the industrial sector, especially manufacturing activities, and transform the manufacturing sector into a major engine for economic growth.
The policy includes 12 programs, each of which includes policy measures specifically designed to address specific issues within the areas it covers in the areas of supply and demand, infrastructure, capital, labor and skills, technology and innovation, access to markets, the overall competitiveness of industrial facilities, and the development of priority sub-sectors. .
The Ministry has defined the stages of implementation of the industrial policy in three short-term stages to achieve growth in the added value of manufacturing industries and employment in existing industries, by removing obstacles that stand in the way of exploiting existing production capabilities and achieving small gains in labor productivity in these industries, as well as the gains that It can be achieved in terms of competitiveness.
Industrial growth in the middle stage is achieved by raising and enhancing industrial efficiency, by increasing investment in competitive factors such as technology and quality, and ensuring regulated access to foreign markets.
It is expected that, in the long term, the consolidation of the foundations of the industrial sector and the advancement of its technological dimension will lead to an increase in the share of advanced technology activities in the total value added of manufacturing industries.
It is worth noting that the main feature of the manufacturing sector is micro and small enterprises, in which 92% of manufacturing facilities employ fewer than nine workers
Source: Maan News Agency