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Impact of Renewable Energy on the Economy of Saudi Arabia

Author

Listed:
  • Khaled Abdalla Moh'd AL-Tamimi

    (Department of Financial and Administrative Sciences, Irbid University College, Al-Balqa' Applied University, Jordan)

  • Mohammad Sulieman Jaradat

    (Department of Banking and Financial Sciences, Ajloun National University, Jordan.)

  • Fatima Lahcen Yachou Aityassine

    (Department of Financial and Administrative Sciences, Irbid University College, Al-Balqa' Applied University, Jordan.)

  • Mustafa M. Soumadi

    (Department of Financial and Administrative Sciences, Irbid University College, Al-Balqa Applied University, Jordan)

Abstract

The objective of the study was to identify the impact of renewable energy on Saudi economy during 2000-2021. Analytical techniques were used to conduct this study. An analysis of the study used a set of variables, in which Renewable energy perceives as independent variable and the dependent variables are GDP per capita, net foreign direct investment, unemployment, fixed capital formation, and net foreign trade. The data of the study were analyzed using the E-views program. According to the study, renewable energy has an impact on certain economic variables and does not have an impact on others. A partial validity is found for the study's central hypothesis. According to our findings, renewable energy contributes significantly to net foreign direct investment, unemployment, and fixed capital formation, but not to GDP per capita, net foreign trade, or fixed capital formation.

Suggested Citation

  • Khaled Abdalla Moh'd AL-Tamimi & Mohammad Sulieman Jaradat & Fatima Lahcen Yachou Aityassine & Mustafa M. Soumadi, 2023. "Impact of Renewable Energy on the Economy of Saudi Arabia," International Journal of Energy Economics and Policy, Econjournals, vol. 13(3), pages 20-27, May.
    • Handle: RePEc:eco:journ2:2023-03-4
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    References listed on IDEAS

    as
    1. Apergis, Nicholas & Payne, James E., 2010. "Renewable energy consumption and growth in Eurasia," Energy Economics, Elsevier, vol. 32(6), pages 1392-1397, November.
    2. Montassar Kahia & Anis Omri & Bilel Jarraya, 2021. "Green Energy, Economic Growth and Environmental Quality Nexus in Saudi Arabia," Sustainability, MDPI, vol. 13(3), pages 1-13, January.
    3. Mohammed AlKhars & Fazlul Miah & Hassan Qudrat-Ullah & Aymen Kayal, 2020. "A Systematic Review of the Relationship Between Energy Consumption and Economic Growth in GCC Countries," Sustainability, MDPI, vol. 12(9), pages 1-43, May.
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    More about this item

    Keywords

    Renewable Energy; Saudi Economy; GDP; Per Capita; Net Foreign Direct Investment; Unemployment; Fixed Capital Formation; Net Foreign Trade;
    All these keywords.

    JEL classification:

    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation
    • Q3 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation
    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy

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