Foreign direct investment (FDI) inflows into Saudi Arabia increased by 24.2% to reach SAR119.2 billion ($31.77 billion) in 2024, said a report.

 

These achievements highlight the effectiveness of Vision 2030 programs, national and sectoral strategies, and major initiatives — foremost among them the National Investment Strategy, launched by His Royal Highness Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince and Prime Minister, in 2021.

 

For the fourth consecutive year, the strategy’s performance indicators have exceeded all targets, covering Gross Fixed Capital Formation, FDI, and the relocation of global companies’ regional headquarters to the Kingdom, said the Saudi Press Agency report.

 

Gross Fixed Capital Formation achieved a historic record in 2024, exceeding SAR1.3 trillion, surpassing its target by 38%. Private-sector investment (non-governmental, non-oil) represented around 76% of the total, underscoring the dynamism of the local business environment.

 

Since its launch in 2016, Vision 2030 has driven a notable increase in foreign investment. Since 2017, annual FDI inflows have multiplied more than fourfold, rising from SAR28.1 billion to current levels. Cumulative FDI stock nearly doubled to SAR977.3 billion in 2024, compared to SAR501.8 billion in 2017.

 

The Kingdom’s reforms have fostered a competitive and attractive environment, reflected in the issuance of over 50,000 foreign investment licences across diverse sectors. The number of regional headquarters relocated to the Kingdom also grew sharply, reaching 660 companies by 2024—a key milestone in positioning Saudi Arabia as a leading regional hub.

 

Minister of Investment Khalid Al-Falihi said: “The results of foreign direct investment in 2024 come amid global economic challenges and a slowdown in international flows. This success demonstrates the Kingdom's ability to navigate economic and investment challenges through an ambitious vision aimed at diversifying the economy, fostering an attractive investment environment, and creating high-quality opportunities."

 

He noted that this data proves the effectiveness of Vision 2030 and the National Investment Strategy in attracting diverse FDI from various countries. The results also confirm the Kingdom's commitment to economic diversification and sustainable development. For the first time, non-oil FDI flows accounted for about 90% of total flows in 2024, with the proportion of non-oil FDI in non-oil GDP reaching a globally satisfactory 4.2%. - TradeArabia News Service