Interview with Mr. Maan Alangari, General Manager of the General Directorate for Cooperatives within the Ministry of Human Resources and Social Development, Kingdom of Saudi Arabia

Could you tell us about yourself and how you got involved in work around cooperative development?
 
I am Maan Alangari, the General Manager of the General Directorate for Cooperatives within the Ministry of Human Resources and Social Development (MHRSD) in the Kingdom of Saudi Arabia (KSA). The General Directorate of Cooperatives is responsible for overseeing the cooperatives movement in KSA in terms of policy making and regulation, licensing, governance and compliance in addition to creating the required enablers within the cooperatives ecosystem.
 
Back in 2021, and as part of the focused efforts on fostering the cooperative movement within Saudi, the Ministry of Human Resources and Social Development created for the first time a dedicated general directorate to oversee the cooperative movement in the Kingdom.
 
At that time, I was actively involved in multiple programs related to KSA Vision 2030 where I developed a good understanding of the Kingdom's economic and social development objectives. At a personal level, I was particularly interested in the topic of social and solidarity economy. Those elements provided me with the opportunity to start this new role and I am honored to be the first General Manager of the General Directorate for Cooperatives within the Ministry of Human Resources and Social Development.
 
As part of my role at the Ministry, I've led multiple initiatives to enhance the regulatory framework for cooperatives, create common enablers, and foster collaboration within the cooperatives ecosystem as well as with private and public sector partners. I am particularly focused on exploring ways to leverage the cooperative model to empower communities and foster social and economic resilience. I am committed to continuing this journey of learning, innovation, and collaboration to unlock the full potential of cooperatives in Saudi Arabia.
 
 
What is the state of cooperatives in the Kingdom of Saudi Arabia?
 
As of May 2024, there were over 450 registered cooperatives operating in Saudi Arabia, covering a diverse range of sectors including agriculture, wholesale and retail, real estate, tourism and services.
 
Historically, Saudi Arabia has had a long tradition of cooperatives across all its regions, especially in agriculture and wholesale and retail sectors. Over the last few years, the cooperative movement has seen significant growth in multiple aspects. For instance, the number of registered cooperatives increased by 51% from 2020 (with 298 registered cooperatives) till 2024 (with 450 registered cooperatives) and revenues from cooperatives increased by 57% between 2019 and 2022. We are also observing a noticeable growth in emerging sectors such as tourism, ICT and professional services.
 
In addition, we are seeing an increased regional interest in accelerating the cooperative movement, with multiple regional authorities working closely with us to understand the regional specifics and put in place the required enablers and partnerships to unlock the potential of cooperatives. For instance, multiple regions are considering cooperatives as a key vehicle to engage local communities, such as tour guides, farmers, local food producers and artisans, in providing authentic experiences while connecting visitors to the unique cultural, religious, and environmental aspects of each region.
 
What are the plans of the Government of the Kingdom of Saudi Arabia in advancing cooperatives?
 
The General Directorate of Cooperatives at the Ministry of Human Resources and Social Development in Saudi Arabia has outlined several ambitious plans to further strengthen and expand the cooperative movement in the country. Some of the key initiatives include:

• Launching the first-ever National Cooperatives Strategy in the Kingdom. This strategy provides a comprehensive roadmap to guide the development and growth of cooperatives across various sectors and regions
• Reviewing and updating the National Cooperatives Act to align it with the cooperative movement requirements in Saudi. 
• Putting in place the required enablers for the cooperatives sector which includes activating the role of the APEX organization as well as the federation cooperatives, creating specialized training and capacity-building programs for cooperative leaders and members to enhance their skills in areas such as governance, financial management, and business operations, and promoting public awareness and understanding of the cooperative model across the kingdom.
• Working closely with key economic sectors to leverage cooperatives in achieving the corresponding sector priorities. For example, we are working with the Ministry of Environment Water and Agriculture (MEWA) to accelerate the establishment and growth of related cooperatives as means to organize farmers and enhance their coordination with MEWA as well as increasing their productivity, products quality and operational efficiency.

What is your vision with regards to positioning Saudi cooperatives in the international arena?
 
Our goal is to position Saudi Arabia as an active player in the international cooperative movement.
 
Saud Arabia, represented by the Ministry of Human Resources and Social Development, has recently joined the International Cooperative Alliance and is planning to become a very active member by participating in the different events and coordinating with other member-countries and organizations.
 
In addition, we have recently activated a partnership program with the International Labour Organization (ILO) on a Cooperatives Pillar within the Social Development Sector of the Ministry.
 
We are focusing on building strategic partnerships with leading regional and international players that have proven track records in building sustainable ecosystems in cooperative development. We aim to share experiences and to collaborate on joint initiatives to better integrate the Kingdom of Saudi Arabia in the international arena.