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Saudi Arabia Breaks $400bn Investment Milestone as Global Confidence Grows

Prime Highlights:

  • Saudi Arabia’s total investment volume crossed $400 billion in 2025, marking a major milestone in the Kingdom’s economic transformation under Vision 2030.
  • Strong foreign investment and business expansion are positioning Saudi Arabia as a leading commercial hub in the Middle East and North Africa.

Key Facts:

  • Foreign direct investment inflows in 2025 are expected to reach SR140–150 billion, up from SR28 billion in 2017, showing a sharp rise in global investor interest.
  • More than 700 multinational companies have established regional headquarters in Saudi Arabia, while licensed foreign firms have grown to 62,000 nationwide.

Background:

Saudi Arabia has achieved a major economic milestone after its total investment volume surpassed SR1.5 trillion ($400 billion) for the first time in 2025, according to an announcement by the Kingdom’s Minister of Investment, Khalid Al-Falih.

Speaking at a Government Press Conference in Riyadh, Al-Falih said the achievement reflects strong momentum across Saudi Arabia’s financial and business landscape, driven largely by rising foreign capital inflows and continued reform efforts under the Vision 2030 program.

The minister noted that foreign direct investment (FDI) flows into the Kingdom this year are expected to range between SR140 billion and SR150 billion, marking a sharp increase from SR28 billion in 2017. He said the growth demonstrates increasing confidence among global investors in Saudi Arabia’s long-term economic outlook.

Saudi Arabia has set a target of attracting $100 billion in annual foreign investment by the end of the decade as it works to diversify its economy beyond oil. Al-Falih said the expanding presence of international businesses highlights the progress being made toward that goal.

According to the minister, the number of licensed foreign companies operating in the Kingdom has climbed to 62,000, up from just 6,000 in 2016. More than 700 multinational companies have set up regional headquarters in Saudi Arabia, reinforcing the Kingdom’s role as a key business hub for the Middle East and North Africa.

The investment surge is also translating into tangible benefits for the workforce. Al-Falih said the Saudi economy has created 800,000 new jobs, while private-sector wages have risen by 45 percent. He added that women’s participation in the labor market has doubled, reflecting broader social and economic changes.

Entrepreneurial activity continues to expand, with 1.86 million active commercial registrations held by Saudi investors by the end of 2025. The minister also confirmed that three major companies have begun automobile manufacturing in the Kingdom.

Looking ahead, Al-Falih highlighted ongoing capital-market reforms, including new rules that will allow all foreign investors direct access to the Saudi stock market from February. He said these measures aim to improve market openness while maintaining stability, further supporting the Kingdom’s investment ambitions.

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