In the Kingdom, P&G has manufacturing plants in Jeddah and Dammam. P&G is responsible for SR1.6 billion ($427 million) of exports a year from Saudi Arabia.

many laws and regulations. But, of course, I recognize it is not always like that, and that’s when the need for good regulation arises.

“And we as corporates should be involved with government when they seek our help, for example in helping frame good regulation. But at the end of the day, we represent business and we should focus on business. They are government and regulation is their responsibility.”

Samir believes that particularly in the education sector, there is a need for greater independence for the private sector.

“What is the harm of letting the private sector run schools? Why should governments be stipulating which books are to be studied? Education is a business in many parts of the world, and it is unfair to ask schools to be run like a charity,” he said.

In the GCC, the governments are about to expand their roles in business significantly next year, when value-added tax (VAT) is down to be simultaneously introduced across six states. How does P&G view that move?

“I don’t expect the introduction of VAT next year will have too much of an impact on our business. The rate, at 5 percent, is a reasonable amount. There could be some glitches shortterm, but we’re ready for it in terms of our accounting systems and the procedures,” he said.

In the context of Saudi Arabia, he is very much aware of the big transformation underway in the Kingdom’s economic system with the plan to diversify away from oil dependency under the Vision 2030 plan.

P& G has played a big role in Saudi business and commercial life for 70 years, in partnership with the Abudawood trading family of Jeddah. It employs 1,000 people in the Kingdom, of whom 70 percent are Saudi nationals. It has a market share of above 50 percent in many categories, rising to as high as 80 percent in some, Samir said.

“In Saudi Arabia, we’re focused on the consumers and what effects them. But anything that makes doing our business easier, we would welcome. I think the changes underway in the Kingdom will be good for us. It will lead to more urbanization and more consumerism,” he said.