This paper presents findings from one of the first independent socioeconomic household surveys conducted to study urban poverty among Saudi nationals. This survey was administered to 496 Saudi households in Dammam in 2019. The results highlight that education and unemployment are crucial factors of poverty outcomes. In addition, the combination of large family sizes and the tradition of relying on a single breadwinner increases the likelihood to be poor. Female-headed households are particularly vulnerable to poverty. Moreover, social capital has a positive impact on household welfare, whereas being of African descent has a negative influence. However, health, personal attitudes, and being of Bedouin origin were not found to impact poverty outcomes. While the social welfare system is able to mitigate some of the inequalities, it does not address all of them. A shortcoming of the social welfare system is its relatively high rate of inclusion and exclusion errors. © 2025 Economic Research Forum.

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