Saudi Arabia’s Cabinet, chaired by the Crown Prince and Prime Minister Mohammed bin Salman, on Tuesday approved the regulation of the Saudi Investment Marketing Authority, reported the Saudi Press Agency (SPA).
The new decision aligns with the objectives of the ambitious Saudi Vision 2030, which aims to diversify the economy and enhance its global competitiveness. This involves supporting the investment ecosystem in the Kingdom, to solidify its position as a global investment hub.
Attracting Foreign Investment
On this occasion, the Saudi Investment Minister, Khalid Al-Falih, thanked the Saudi leadership for the approval, describing it as a critical step in achieving the authority’s strategic goals.
“This approval marks a pivotal starting point for the authority to achieve its strategic objectives and strengthen the Kingdom’s position as a distinguished destination for attracting and promoting investment,” he wrote on X.
Investment Marketing Authority Role
The Saudi Minister also highlighted the role of the Investment Marketing Authority. Speaking to SPA, Al-Falih said that the authority will be responsible for marketing investment opportunities inside Saudi Arabia and abroad, in collaboration with stakeholders across various sectors.
Moreover, it will highlight competitive advantages and incentives which the Kingdom provides for investors, in addition to Saudi Arabia’s transformation towards a more diversified and sustainable economy.
Adopting Advanced Technologies
Al-Falih noted that the Investment Marketing Authority will adopt cutting-edge technologies and strategies in investment marketing. This includes plans that use deep market analyses, and leveraging international partnerships and digital platforms to attract global investors.
He added that this also involves highlighting the advantages of the Saudi business ecosystem, including Saudi Arabia’s strategic location, business-friendly regulations, advanced infrastructure, and the recognized abilities of Saudi investors to forge successful international partnerships.
Furthermore, the authority will highlight the promising investment opportunities in strategic sectors, including technology, industry, tourism, transport, logistics, renewables, health, education, and real estate development.
Supporting Economic Growth
The Saudi Investment Minister emphasized that the authority will play pivotal role in driving the Kingdom’s economic growth, in line with the objectives of Vision 2030.
He said that the authority will be essential in attracting foreign direct investment, enhancing national investment, and supporting Saudi investors.
This, in turn, will support economic growth, create jobs, and promote innovation and knowledge transfer, further strengthening Saudi Arabia’s economic competitiveness and sustainable development.
FDI in Saudi Arabia
Saudi Arabia has seen a surge in foreign direct investment (FDI) in recent years. The FDI has surpassed the National Investment Strategy’s 2023 target by 16%, according to Arab News.
Moreover, the Kingdom has emerged as the second-fastest growing G20 economy in terms of FDI inflows and fourth globally in total foreign investment growth, with SAR 900 billion in investments, marking a 13% increase.
As a result, over 500 foreign companies have established regional headquarters in Saudi Arabia, with foreign investors directing over SAR 350 billion into Saudi financial markets.
