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CEO of the Royal Commission for Riyadh City (RCRC), Fahd Al-Rasheed
The CEO of the Royal Commission for Riyadh City (RCRC), Fahd Al-Rasheed, said that Saudi Arabia's endeavor to attract companies to establish their regional headquarters in Riyadh is proving successful.
He told Reuters that "great success" has been achieved in attracting multinational companies and that details would be announced at the leading Saudi Investment Forum, which begins its new session on Tuesday.
He added: “Companies want to move here. Once they learn about the investment opportunities and the kinds of full offer that we provide them, they immediately decide to (come)".
“It’s not about dismantling what companies are doing in other cities in the region,” he said, also urging multinationals without a regional presence to set up shop.
“We’re giving incentives per sector, it’s not a blanket incentive process,” Al-Rasheed said, adding that it would be “super easy” to lure the investment banking sector.
He cited the Crown Prince’s plan to wean the economy off oil by building new industries and launching megaprojects, and a specific strategy for Riyadh due to be announced soon.
"Just the Riyadh Sustainability Strategy, it’s a $40 billion investment opportunity for the private sector. This needs to be structured by investment banks, so the opportunity is unprecedented across the globe,” he said.
Several foreign firms, including PepsiCo, Bechtel, Schlumberger, agreed earlier this year to set up regional offices in the Kingdom rather than overseeing their operations remotely from Dubai, according to Reuters.
The Saudi government announced, on Feb. 15, it would not contract any foreign company or commercial entity that has regional headquarters outside the Kingdom, starting from Jan. 1, 2024. The decision included all entities, establishments and funds affiliated to the government, Argaam reported.
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