Impact of Sustainable Development Goals on Economic Growth in Saudi Arabia: Role of Education and Training

Abstract

Sustainable development goals (SDGs) are intended to be attained as a balanced whole. However, significant interactions (the synergies and trade-offs) between the SDGs have caused the need, especially in developing economies, to identify and pursue them in line with their particular developmental needs. The research intends to empirically investigate the relationship between selected UN SDGs and GDP growth rate as a proxy for economic well-being in Saudi Arabia. We also investigate the role of education and training in achieving SDGs in accordance with the Saudi Vision 2030, which places emphasis on the knowledge economy. This research employs multiple regression analysis to explore the relationship between the SDG variables and the GDP. The results show that education and training, gender equity/women’s empowerment, greenhouse gas emissions, and decent employment are positively and significantly related to the GDP growth, whereas poverty, hunger, and health appear to be negatively related. The research indicates that education and training can promote economic, socioeconomic, and health goals without compromising environmental goals. Consequently, the Saudi government should invest more in education and training to maximize synergies and minimize tradeoffs between the SDGs. This will help to promote sustainable employment generation, build human capital, improve socioeconomic empowerment through technology, and boost economic growth.