JollyChic, a $1 billion-valued Chinese start-up which sells fashion and is primarily focused on the Middle East markets, has signed an agreement to support the acceleration of Saudi Arabia's digital transformation.
The memorandum of understanding (MoU) with the Saudi Arabia General Investment Authority (SAGIA) lays the foundation for Jollychic to establish a strategic relationship with SAGIA as well as government sectors and stakeholders.
The move is part of Saudi Arabia's Vision 2030 which aims to contribute to the development of a robust and diversified economic infrastructure.
"It's an honour to partner with SAGIA and we hope to drive the overall competitiveness of the Saudi business community in the context of the internet age while bringing unique value to the kingdom while on its way to Vision 2030," said Jollychic founder and CEO, Arron Li.
Under the deal, SAGIA will provide comprehensive support for Jollychic to contribute in promoting the local e-commerce industry and ecosystem in Saudi Arabia.
"Jollychic is a successful example of a company that is effectively stimulating employment and promoting social progress in the digital economy sector of Saudi Arabia." said Dr Mazin M Al Zaidi, director of innovation and entrepreneurship at SAGIA. "We look forward to more tech companies gaining success in Saudi Arabia through a long-term development plan," he added.
Data from market researcher BMI shows that e-commerce sales in Saudi Arabia are expected to reach $13.9 billion in 2021, up from $8.7 billion in 2017.
Jollychic said it will work to enhance communication and cooperation with the Saudi government and other stakeholders to strengthen localisation and investment in the areas of technology sharing, investment commitment, promoting employment and raising social awareness.
"As a non-oil company that had invested and rooted itself in Saudi Arabia at a very early stage, the kingdom has always been an important strategic market for Jollychic," said Li.
"Jollychic will promote infrastructural improvements such as a logistics network, internet professional training and so on in Saudi, and actively utilise our expertise in artificial intelligence, big data, and internet model innovation practice to build a healthy and sustainable e-commerce ecosystem," he added.
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