Strategy to Develop Financially Sustainable Municipalities in Saudi Arabia


FEI Consulting has been contracted by the Kingdom of Saudi Arabia to prepare a strategy to develop financially sustainable municipalities and assist in the implementation and develop local capacity.

The firm’s responsibilities focus on four key topics: (i) develop an overview of the key elements in the PFM system by focusing on the legislation, standard practices, the scope of municipal autonomy and transparency, and evaluate the fiscal planning and reporting systems, (ii) assess the contractual arrangements in the piloted municipalities in areas to include solid waste management, parking, public cleansing and evaluate the present outsourcing practices, (iii) assess the effectiveness of the primary forms of PPP schemes including the assignment of roles and responsibilities in the design and management of PPP schemes, and (iv) develop programs to strengthen local PFM capacity.

The project started in 2018 to continue for the rest of 2019.