Saudi Gazette report

RIYADH — As many as 184 foreign companies moved their regional headquarters to Saudi Arabia after obtaining an investment license during the first half of 2024, according to a report of the Ministry of Investment of Saudi Arabia (MISA). This was mainly attributed to the Kingdom’s relentless efforts to boost the investment environment and improve the investor experience.

A total of 57 companies secured investment licenses to move their regional headquarters to the Kingdom during the second quarter of this year, and this records a growth rate of 84 percent compared to the same period in 2023. This is in addition to 127 licenses issued in the first quarter of 2024 and thus bringing the total number of licenses issued in the first half of the year to about 184 licenses, according to the “Saudi Economy and Investment Monitor” report for the second quarter of 2024, released by MISA.

The ministry also dealt with 4,709 applications for an ‘Investor Visit’ visa, which is granted to investors from outside the Kingdom to enable them to visit and explore available opportunities, in addition to addressing 38 challenges facing investors, including legislative and procedural issues.

The ministry report showed that the investment licenses issued during this period increased by 49.6 percent, reaching 2,728 licenses, compared to about 1,824 during the same period of the previous year, and this is after excluding licenses issued under the campaign to correct the status of violators of the Anti-Commercial Cover-Up Law, Asharq Al-Awsat newspaper reported.

Most of the issued investment licenses were concentrated in the sectors of construction, manufacturing, professional, educational and technical activities, information and communications, accommodation and food services and wholesale and retail trade activities.

Mining and quarrying activity is the fastest growing sector in terms of the issuance of investment licenses during the second quarter, compared to the same period last year, with a growth rate of 209.1 percent, followed by other services and activities, wholesale and retail trade with an increase rate of 110.5 percent and 96.3 percent respectively.

The report revealed the Kingdom’s most prominent initiatives to support investment during the second quarter of 2024, most notably the launch of the Ministry of Economy and Planning’s “Sustainability Pioneers” program initiative in Riyadh, which highlights the sustainability landscape across the country by enhancing cooperation between leading companies in vital sectors. This is also an integral part of the state’s comprehensive approach to addressing environmental challenges and accelerating its transition towards a green economy in line with the Saudi Vision 2030.

The Sustainability Pioneers initiative affirms the importance of cooperation between the public and private sectors in the Kingdom, in line with the ambitious and global goals related to commitment to sustainable development and environmental protection.

The Fashion Commission launched the “The Lab” initiative in cooperation with the “Mohammed bin Salman Non-Profit City” (Misk City) in the capital, Riyadh. It is the first studio of its kind in the Kingdom that aimed to advance the industry by providing designers with the appropriate training and resources necessary to simplify the manufacturing process. The initiative also seeks to create a system that enhances investment opportunities in this industry and ensures its prosperity.

The report also touched on the initiatives of the Saudi-British Strategic Partnership Council, which was recently established to enhance the development of mutual economic partnership in 13 vital and promising sectors. It is a forum for exchanging qualitative expertise and reviewing the latest practices in priority activities.

The initiative contributes to enhancing the volume of trade exchange between the two countries, and is accompanied by events with the participation of the most creative and innovative companies to enhance partnership in promising and emerging fields between the two countries.

The Saudi Investment Marketing Authority signed an agreement with the World Association of Investment Promotion Agencies to host the 28th World Investment Conference in November 2024 in Riyadh, as part of the country’s keenness to lead digital transformation, sustainability and global cooperation in this system.

The report hinted at the education sector, which represents one of the main axes for the country to achieve sustainable and comprehensive development, by seeking to enhance this system by improving the quality of education and providing an innovative and attractive environment for investment in it.

The report revealed qualitative achievements made in education under the umbrella of Vision 2030, the most important of which is attracting qualitative foreign investments in about 13 companies in private-public education, as well as providing the opportunity for distinguished international universities to establish branches in the Kingdom, and encouraging investment and expansion in university education. The report also disclosed about the opening of international universities soon.

Among the achievements, four Saudi universities were among the best universities in registering patents out of 100 universities worldwide, as well as strengthening the Kingdom’s position in global competitiveness by achieving advanced ranks for Saudi universities in international classifications, as a result of the country’s support and interest in the higher education sector and enabling research and innovation.

According to the report, 8 international schools were established in Riyadh. They are Beach Hall, King’s College, One World International, Downe House, Aldenham, SEK, Packwood, and RGS international schools