Saudi Arabia has been making significant strides in boosting its investment environment and attracting foreign companies to set up their regional headquarters in the Kingdom. As per the Ministry of Investment of Saudi Arabia (MISA), a total of 184 foreign companies moved their regional headquarters to Saudi Arabia in the first half of 2024 after obtaining investment licenses. This success can be attributed to the relentless efforts of the Kingdom to improve the investor experience and create a conducive environment for investment.
During the second quarter of 2024, 57 companies secured investment licenses to move their regional headquarters to Saudi Arabia, marking an impressive growth rate of 84 percent compared to the same period last year. This is in addition to the 127 licenses issued in the first quarter of the year, bringing the total number of licenses issued in the first half of 2024 to 184, according to the “Saudi Economy and Investment Monitor” report released by MISA. The ministry has also addressed 38 challenges facing investors, including legislative and procedural issues, to facilitate a smoother investment process.
The report highlighted that most of the investment licenses issued during this period were concentrated in sectors such as construction, manufacturing, professional, educational and technical activities, information and communications, accommodation and food services, and wholesale and retail trade activities. Mining and quarrying activity saw the fastest growth in terms of the issuance of investment licenses during the second quarter, followed by other services and activities, wholesale and retail trade.
The Kingdom has been focusing on initiatives to support investment, including the launch of the Ministry of Economy and Planning’s “Sustainability Pioneers” program initiative in Riyadh. This initiative aims to enhance cooperation between leading companies in vital sectors to address environmental challenges and accelerate the country’s transition towards a green economy in line with the Saudi Vision 2030. Additionally, the Fashion Commission launched “The Lab” initiative in cooperation with Misk City to advance the fashion industry in the Kingdom.
The report also highlighted the initiatives of the Saudi-British Strategic Partnership Council, which aims to enhance mutual economic partnership in 13 vital sectors. This partnership facilitates the exchange of expertise and practices in priority activities, thereby enhancing trade exchange between the two countries in promising and emerging fields. Furthermore, the Saudi Investment Marketing Authority signed an agreement with the World Association of Investment Promotion Agencies to host the 28th World Investment Conference in Riyadh in November 2024.
Education in Saudi Arabia has also been a key focus area for sustainable and comprehensive development. The country has been striving to enhance its education system by improving the quality of education and creating an environment conducive to investment in the sector. Under Vision 2030, Saudi Arabia has attracted qualitative foreign investments in private-public education and has encouraged the establishment of branches of distinguished international universities in the Kingdom. Additionally, the report highlighted the opening of international universities in the near future.
The achievements in the education sector include four Saudi universities ranking among the best universities worldwide in registering patents and advancing the Kingdom’s position in global competitiveness. The support and interest in the higher education sector have enabled Saudi universities to achieve advanced ranks in international classifications. The report also noted the establishment of eight international schools in Riyadh, further enhancing the education landscape in the Kingdom.
