Saudi FDI Jumps 53% as New Laws Court Manufacturers

Saudi Arabia's push to reshape its industrial base and open its markets is drawing fresh interest from global manufacturers, as new figures show foreign direct investment (FDI) net inflows reached USD 32.6 billion (about SAR 122.3 billion) in the latest reported year — a 53% jump over the previous year.

The Kingdom now ranks 13th globally for FDI attraction, up from 17th in 2024. Under the National Investment Strategy, it aims to draw more than USD 100 billion (about SAR 375 billion) in annual FDI by 2030, part of the wider goals of رؤية السعودية 2030.

A newly issued investment law expands foreign ownership rights, supports special economic zones, and streamlines procedures for investors. A separate foreign property ownership law, effective early 2026, allows non-Saudis — individuals and companies, residents and non-residents — to own residential, commercial, and agricultural property in designated areas, with specific rules for Makkah and Madinah.

Markets and zones opened up

From 1 February 2026, the Capital Market Authority opened the Main Market (Tadawul) to all foreign investors for direct investment, abolishing the Qualified Foreign Investor regime and its swap agreement framework. This removes the previous minimum assets threshold — around SAR 1.9 billion — that non-resident foreigners once needed to invest directly in listed shares.

The Cabinet also approved regulations for four special economic zones — Jazan, Ras Al Khair, King Abdullah Economic City, and a Computing and Technology Zone — with operational and legal phases effective April 2026. They offer streamlined licensing, flexible ownership structures, tax and customs incentives, and the option to use multiple languages in commercial registrations.

Supporting the drive, the Public Investment Fund approved a 2026–2030 strategy focusing its roughly USD 925 billion portfolio on the domestic economy, backing giga-projects such as NEOM, Qiddiya, the Red Sea and Diriyah. For residents and businesses, the changes signal wider job creation, more local production, and greater access to Saudi investment opportunities.

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