Economy, Auto
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Woman Drivers Could Boost Saudi Auto Market

Woman Drivers Could Boost Saudi Auto MarketWoman Drivers Could Boost Saudi Auto Market

Saudi Arabia has lifted a ban on women driving, and the move could give a boost to an auto market in the country that’s been declining. After years of trending up and pushing toward 1 million in annual sales, 2016 saw the Saudi market swoon, plunging by almost 30%, Business Insider reported. The key factor has been the lower price of oil globally, which has spurred a sales boom in places like the SUV-loving US but curtailed spending in Saudi Arabia. Women behind the wheel in the kingdom could moderate the decline, although reversing it is unlikely. In Saudi Arabia, women were banned from driving, not from buying, cars. But with a young population, more women both learning to drive and entering the market as new buyers, some of the ambitions for the scale of auto sales could be reset. “Demand could get an extra fillip if Saudi women ever gain the right to drive,” The Economist argued back in 2013. The Economist Intelligence Unit rightly forecasted improved growth back then, but it was wrong in expecting a 1-million sales market by 2017.

 

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