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Mohammed Al-Jadaan, Saudi Minister of Finance
Saudi Arabia will complete judicial and regulatory reforms and improve the quality of life for companies until 2024, so that businesses and people feel comfortable moving to Riyadh, Reuters reported, citing Mohammed Al-Jadaan, Saudi Minister of Finance.
The minister added that the number of regional headquarters in the Kingdom is currently less than 5%.
Saudi Arabia’s decision to cease contracting with companies and commercial institutions aims to encourage foreign firms to open a permanent, in-country presence that would help the government create local jobs and attract foreign direct investment to diversify the Kingdom’s economy.
International companies with no headquarters in the Middle East will be able to win contracts from the Saudi government, Al-Jadaan explained, noting that some sectors will be exempt from the decision to cease contracting with companies whose regional headquarters are not located in the Kingdom.
Elsewhere, Al-Jadaan stressed that Dubai as a major regional business hub has its own competitive advantage. “We will continue to complement each other and have a healthy competition,” he concluded.
Saudi Arabia’s government said that it will not contract any foreign company or commercial entity that has headquarters in the region, other than the Kingdom, starting from Jan. 1, 2024, Argaam reported.
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