Saudi Arabia permits 100% foreign owned businesses
06/08/24
Saudi Arabia is paving the way for unprecedented international investment with its groundbreaking policy allowing 100% foreign ownership across most business sectors. This progressive move is set to attract a wave of global capital and entrepreneurial talent.
At the recent Saudi-Korean Business Forum held in Seoul, South Korea, the Saudi Minister for Commerce highlighted how Saudi Arabia's Vision 2030 is transforming the nation's economic landscape. This visionary plan has driven significant diversification, fostering sustainable growth and fueling innovation across various industries. Most importantly, this has led to an unprecedented number of new opportunities for businesses wishing to enter the Saudi market.
The forum, which saw participation of around 400 key Saudi figures from both the public and private sectors, highlighted the robust trade relationship between Saudi Arabia and Korea. This strategic partnership has resulted in a remarkable SAR 131.25 billion (USD 35 billion) in trade volume from 2019 to 2023.
Significant reforms have been implemented which have enhanced Saudi Arabia's global competitiveness. Since 2016, 820 economic reforms have been enacted across nine key areas, with 1,200 laws and regulations updated to fortify the legal framework. Furthermore, the digitization of government services has reached an impressive 97%, with virtual commercial court sessions operating at a 99% rate, streamlining litigation and boosting efficiency.
The event emphasized the expansion of Saudi-Korean economic collaboration into critical areas such as automotive, shipbuilding and cutting-edge sectors like AI, data centers and smart cities. The discussion also included the promising Korea-Gulf Cooperation Council (GCC) Free Trade Agreement, poised to elevate economic cooperation to new heights.
The forum successfully concluded with the signing of nine agreements between companies from both nations, marking a significant milestone in the ongoing partnership. The discussions also focused on advancing trade relations, tackling global trade challenges, and removing barriers to enhance export opportunities.
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