Saudi Arabia issues 127 regional headquarters licences in Q1 2024, up 477% year-on-year

Saudi Arabia has made significant progress in attracting foreign investment and hosting regional headquarters for international companies in 2024. According to the Saudi Ministry of Investment (MISA), 127 licenses were issued to international firms to relocate their regional headquarters to the Kingdom in the first quarter of 2024, up 477% year-on-year.

In a major step in this direction, Citigroup received approval to set up a regional headquarters in Riyadh in November 2024, following Goldman Sachs’s previous approval in May of the same year. These decisions are in line with Saudi Arabia’s strategy to attract foreign investment and reduce its dependence on the oil sector.

As a reminder, FDI inflows to Saudi Arabia in 2023 amounted to SAR 96 billion (approximately US$25.6 billion), exceeding the target of SAR 83 billion. Continued growth demonstrates investor confidence in the economy and stability of the Kingdom.

"From a legal perspective, companies considering opening headquarters or investing in Saudi Arabia must take into account local regulatory requirements. For example, from 2021, rules have been introduced requiring foreign firms wishing to participate in government contracts to have regional headquarters in the Kingdom."

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• Consultation on opening and running a business in Saudi Arabia, including analysis of local legislation and regulatory requirements.
• Consultations on tax planning and tax optimization in accordance with local legislation.
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• Assessment of the investment climate and identification of promising sectors for investment.
• Support for starting a business in Saudi Arabia, including the preparation of documents and interaction with MISA.