Eastern Province tops Saudi Arabia for FDI, with $97.6bn, says top official

29/04/2025 05:47 AST

Saudi Arabia's Eastern Province is leading the Kingdom in attracting foreign direct investment, with the value of its FDI stock standing at SR366 billion ($97.6 billion) - 42 percent of the country's cumulative total, according to a senior official.

Speaking at the Jubail Investment Forum 2025, held from April 27 to 28, Minister of Investment Khalid Al-Falih announced that by early 2025, the Eastern Province had issued 5,456 active foreign investment licenses, supporting over 53,000 jobs with a localization rate of 36 percent.

Saudi Arabia is aiming to attract $100 billion in FDI a year by the end of this decade, as it seeks to make significant strides in diversifying its economy and reducing dependency on oil revenues in alignment with its Vision 2030 objectives.

"There are more than 600 investment opportunities available in the region, with a total value exceeding SR330 billion," Al-Falih said, adding that the "Invest Saudi" platform provides a comprehensive overview of these opportunities to connect local and global investors, according to a post on his ministry's X account.

FDI inflows into Saudi Arabia increased by 29.39 percent in the final quarter of 2024 compared to the preceding three months to reach SR23.29 billion, according to data from the General Authority for Statistics.

In his speech, Al-Falih said that by early 2025, 34 international companies had been granted licenses to establish their regional headquarters in the Eastern Province, as part of Saudi Arabia's initiative to attract more firms to the Kingdom.

The licenses cover various sectors, including petrochemicals, energy, and mining, as well as real estate and manufacturing.

The minister highlighted the strategic and competitive advantages of the region, including its prime geographic location, which connects it to six neighboring countries, as well as its abundant natural resources, such as fossil and renewable energy.

He also highlighted the Ras Al-Khair Special Economic Zone, launched in 2023, which aims to support the value chain of maritime industries with a targeted investment of SR26 billion, according to the minister.

"It aims is to localize up to 50 percent of the main shipbuilding components over the next decade," the minister said, as per the X post.

The Jubail Investment Forum aims to highlight the role of the Eastern Province, particularly the industrial city of Jubail, in supporting Saudi Arabia's Vision 2030. It also seeks to boost the region's investment appeal, showcasing the Kingdom's continuous efforts to cultivate a competitive business environment and provide enticing incentives for investors.

Arab News