It is an interesting time for Saudi Arabia. Changes in so many different domains remain to keep business experts across the globe eager and excited. KSA has been witnessing a paradigm shift in its economic and foreign policies. Vision 2030 is one such transformational project launched by Crown Prince Salman Bin Muhammed in 2016. Under this project, the Kingdom is envisioning to catapult its economy into new heights through a wide range of economic reforms. Vision 2030 leverages on strategic assets to reduce dependence on oil and diversify the Kingdom’s economy. In this drive to integrate the economy to the global system, the Kingdom is offering unprecedented opportunities for businessmen and investors.
It takes only a glance at the economic indices to grasp the potential of the Kingdom’s economy and the scope of the undergoing reforms. KSA is currently the key player in MENA (Middle East and North Africa) region and holds a superior position among G20 countries. Saudi’s economy is the largest in MENA and 18th in the world. It has the 2nd lowest debt/GDP ratio among G20 countries and 5th largest foreign assets reserves globally. Saudi has a young and highly-educated population, half of which is under 30 years of age. The Kingdom has a labour force of 4.4 million. These statistics tell us where to invest safely and start a business now. Numbers don’t lie! The strong economy coupled with a visionary strategy is a harbinger of a global scenario dominated by KSA in the coming decades.
Riyadh hold a central position in all of these and seems to be one of the most promising development hotspots. More than 20 megaprojects have been launched for the development of Riyadh. The city presently hosts various cultural, culinary, music and sports events and is home to multiple arts, cultural and shopping venues. The proposed projects would further boost the cultural and entertainment scene of the city. Projects like Riyadh Metro – which is the largest metro project in the Middle East – are aimed at making Riyadh a global destination; a city that has world-class mobility, lucrative business product offering, exceptional talent pool and thriving quality of life. Riyadh would be home to headquarters of various companies in the coming years. Another hint for businessmen to invest wisely.
With Vision 2030 on board, the Kingdom is extending the renowned ‘Arab hospitality’ to the business sector too. The economy is becoming more inclusive and is adapting to the spirit of openness. The multi-faceted reforms encourage small and medium-sized enterprises (SMEs) laying a fertile ground for entrepreneurship. Various sectors including tourism, entertainment, information technology and financial services are expected to have exponential growth in coming years. Foreign investments in non-traditional sectors are also on the rise. Privatisation programmes by the government anticipate increased private investments. The most significant among the reforms is the initiatives directed at improving the ease of doing business. The procedures for obtaining work permits for ex-pats are being revamped. Access to end-to-end relocation services makes things much effortless. Procedures and paperwork will not impede at all for foreign investors. In short, the project comprises of initiatives and services that cater to every kind of business investment across various sectors.
Success stories of various foreign investors are lures for planning business in Riyadh. The current reforms would further improve the scenario promising higher returns for investors. To see what Riyadh has in store for business and to seize the soaring opportunities are something investors should keep a close tab on.
We at Tass & Hamjit are excited to be play our part in the growth of Saudi Arabia’s economy and also be contribute, however small, to the Vision 2030 realisation. We have helped foreign companies to setup their offices in the Kingdom and have hand held them to follow all commercial and tax rules and regulations of the Kingdom.