Tasattur economy equals 20% of Saudi GDP, expert says
February 16, 2022 | 08:05 AM
An official from the Commerce Ministry closing down a business for tasattur violations.
February 16, 2022 | 08:05 AM
Last Updated: February 16, 2022 | 08:08 AM
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Saudi Gazette report
RIYADH — A Saudi economist has revealed that the size of the hidden economy as a result of ‘tasattur’ is equivalent to 20 percent of the Kingdom’s Gross Domestic Product (GDP).
‘Tasatttur’ is an illegal trading practice by some Saudi businessmen who allow foreign residents to run own commercial or industrial activities in their name in return for a fixed payment.
During the "Biwodouh" program on the "Al-Ekhbariya" TV channel, Talaat Hafez, an economic expert and management consultant, said the hidden economy was a result of commercial cover-ups (tasattur), which gives misleading data about the country's GDP. “This economy is not counted in the first place” while estimating GDP, he said.
Hafez pointed out that commercial cover-ups led to a rise in unemployment, especially since the commercial violators resort to hiring non-Saudi people whom they know and can trust.
RIYADH — A Saudi economist has revealed that the size of the hidden economy as a result of ‘tasattur’ is equivalent to 20 percent of the Kingdom’s Gross Domestic Product (GDP).
‘Tasatttur’ is an illegal trading practice by some Saudi businessmen who allow foreign residents to run own commercial or industrial activities in their name in return for a fixed payment.
During the "Biwodouh" program on the "Al-Ekhbariya" TV channel, Talaat Hafez, an economic expert and management consultant, said the hidden economy was a result of commercial cover-ups (tasattur), which gives misleading data about the country's GDP. “This economy is not counted in the first place” while estimating GDP, he said.
Hafez pointed out that commercial cover-ups led to a rise in unemployment, especially since the commercial violators resort to hiring non-Saudi people whom they know and can trust.
