Ibrahim S. Alsuwail, Deputy Governor of Investor Services, stated that the General Investment Authority (SAGIA) has adopted the International Standard Industrial Classification (ISIC) on investment Licenses.
Alsuwail, pointed out that the adoption is in pursuant to the royal decree, for it to be the approved and standardized classification for economic activities in the Kingdom.
He continued that the classification aims to provide a comprehensive framework for economic based on the sector to be invested in. This will contribute to the investment environment and the accuracy of statistical and economic data, pointing out that the classification includes sections, groups, branches and categories of economic activities that unite the economic activities of investment establishments in government agencies and will be put into effect in all relevant bodies with the launch of 2018.
Alsuwail said that the classification is the best way to collect counting units according to the order of a series in homogeneous groups, to create a general framework for comparison of statistical data at the local, regional and international levels, noting that the new classification provides a set of statistical data according to aspects of economic activity like Production, employment, wages, capital assets, profits and losses and budgets), in addition to providing a comprehensive framework of economic activities; to facilitate the handling of descriptive formulas automatically.
He also noted that ISIC is based on the International Standard Classification of All Economic Activities (ISIC4) of the Economic and Social Affairs of the United Nations Secretariat and is an international reference for productive and economic activities. It is concerned with the collection, generation and analysis of a wide range of economic, social and environmental data, on which the States Members of the United Nations rely on.
In this context, Al-Suwail stressed that SAGIA is working to strengthen research and analytical capabilities in the fields of investment and information, encourage competitiveness, support confidence in international classifications and cooperate with government agencies to support and achieve them in a sustainable manner to be among the elite countries in investment environment competitiveness. .
The original version ISIC was adopted in 1948 and most countries adopted it as a national classification, becoming an important tool for comparing statistical data on economic activities internationally. In 1958, the first revision of the classification was issued (ISIC_1) followed by (ISIC_2) in 1968 and the third (ISIC_3) in 1990. The fourth classification (ISIC4) was issued by the United Nations Economic and Social Council in 2006.