Khalid Al Falih, Saudi Minister of Investment, said that the pro-investment measures introduced by Saudi Arabia have helped drive rapid investment growth with gross fixed capital formation increasing by 74 per cent from 2017 to nearly $300 billion in 2023.
The reforms introduced in recent years include the introduction of the Civil Transactions Law, Private Sector Participation Law, Companies Law, Bankruptcy Law and Special Economic Zones.
Foreign Direct Investment (FDI) stock increased by 61 per cent from 2017 to 2023, reaching almost $215 billion in 2023, and FDI inflows have surged by 158 per cent, jumping from $7.5 billion in 2017 to $19.3 billion in 2023. These initiatives and developments, in addition to incentives, facilities, and enablers, have motivated investors to seek a positive, supportive and stable investment environment, the Saudi Press Agency (SPA) reported.
The minister added: “The law reaffirms Saudi Arabia’s commitment to creating a welcoming and secure environment for investors, driving economic growth and enhancing the Kingdom’s position as a premier global investment destination”.
The policy direction outlined in Vision 2030 allows investors to invest with certainty and to grow with confidence at a time when many other markets are experiencing considerable volatility.
The executive regulations will come into effect beginning in 2025.