Activation Policies for the Poor in OIC Member States
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3. Case Studies
In this section we present the findings from the research carried out on five OIC Member States:
Saudi Arabia, Malaysia, Cameroon, Uganda and Iran. The countries were chosen to reflect the
different income groupings and geographical spread of OIC Member States. The case studies aim to
contribute to the information available in terms of the policies and programmes pursued by these
countries in utilising activation as a tool for poverty alleviation.
3.1 Saudi Arabia
3.1.1 Background
Saudi Arabia has a total population of approximately 30 million74. Currently, around 32% of the
population in Saudi Arabia are expatriates meaning that there are now around 10 million people
living in the country that are not Saudi nationals75. Saudi Arabia’s population is projected to continue
to grow but at a slower rate over the coming decades. By 2020, the population is projected to rise to
32.3 million and by a further 2 million to 2025. In line with other high income Member States, Saudi
Arabia does not have individuals living below the international poverty line of US$1.25 a day.76
However, reliable independent data regarding poverty rates based on the national poverty line does
not appear to be available. The activation programmes as set out below are not specifically aimed at
poverty alleviation, but with a greater emphasis on promoting economic activity. In addition, the
focus of support available is for Saudi nationals and not directed at the migrant expatriate labour
force.
The unemployment rate in Saudi Arabia stands at around 10.6%77. The ILO has estimated a labour
force participation rate in the country of 52.5%78. The governments focus on activation policies is
driven more by seeking to increase labour market participation rates by targeting specific groups
with low rates of labour market participation rather than specifically targeting activation at reducing
poverty. Currently, there are around 1.6 million claimants of unemployment assistance. Four in five
of these claimants are women79 and unemployment among young people is at around 41%80. The
large endowment set aside by the government each year will be spent on labour market
programmes that target such groups directly. The specific aims of activation programmes are to:
1 Increase female labour market participation
2 Reduce rates of youth unemployment
3 Increase the labour market opportunities for persons with disability
4 Reduce regional disparities
5 Economic diversification
6 Reduce levels of skilled migrant labour
The support and programmes established to meet these objectives are set out below.
1 Increase female labour market participation: There are significant differences between the
labour market participation rates of men and women. The male participation rate is 77.3% and
the female participation rate is 19.1%.81 The government is beginning to implement policies
and change regulations and laws to promote female labour market participation. Another
74 Central Department of Statistics and Information, 2014.
75 Central Department of Statistics and Information, 2014.
76 COMCEC Poverty Outllook 2014, p.8
77 SESRIC, statistics and databases, available at:
infigures.php?c_code=12&cat_code=1
78 International Labour Organisation, 2014.
79 Arab News, 2013. Available a [accessed 16th September 2014].
80 Al-Nujaidi, A. (2013) Youth Unemployment Initiatives and Services in Saudi Arabia. Available at
[accessed 8th September 2014].
81 SESRIC BASEIND, 2012