Al-Jabri: 75% of government factories are not profitable and 25% of them are shut down

Al-Jabri: 75% of government factories are not profitable and 25% of them are shut down

9-10-2026

Al-Jabri - 75 percent of government factories are not profitable and 25 percent of them are shut downInformation/Special…
Member of the Parliamentary Committee on Economy, Trade, and Industry, Safaa al-Jabri, revealed on Thursday that 75 percent of government factories are operating at production levels insufficient to cover employee salaries and operational needs. He also indicated that 25 percent are completely shut down, emphasizing that the government industrial sector requires serious attention to revive it.
Al-Jabri told the Information Agency that “most of the machinery and equipment in government factories is outdated and does not keep pace with technological advancements and the requirements of modern industry.” He explained that “government industry is in a weak and unenviable position, which necessitates serious action from the government, the Ministry of Industry, and relevant industrial development bodies to develop clear plans to address this reality.”
He added that “the private sector also suffers from a number of challenges, most notably weak government support, the imposition of taxes and customs duties, as well as bureaucratic procedures within the Ministry of Industry that hinder the establishment of new factories.” He clarified that “addressing these obstacles and granting the necessary licenses for establishing industrial projects would open up broad opportunities for young people, provide new jobs, and reduce citizens’ reliance on government appointments.”
Al-Jabri stressed the need for “real measures and solutions in partnership with the Parliament, the ministries, the Federation of Industries, and the Industrial Development Department of the Ministry of Industry,” emphasizing that “this issue must be a priority over the next three years to change the indicators of the industrial sector and encourage graduates, especially those from industrial preparatory schools, to work in factories, while guaranteeing their contractual and employment rights.”

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