BUSINESS DEVELOPMENT IN SAUDI ARABIA

A Detailed Market Insight

Key numbers and trends make Saudi Arabia one of the world’s most dynamic environments for business expansion.

1. Strong economic growth and sustainable diversification

Under Vision 2030, Saudi Arabia is transforming its economy. In 2024, non–oil exports reached $137.29 billion, marking a 13% year-over-year increase and a 113% rise since 2016. This shift signals a durable pivot away from oil dependency, creating fertile ground for international firms across sectors including tech, manufacturing, tourism, and logistics. Expansion here is about tapping into diverse, sustainable growth—not just riding an oil boom.

2. A phenomenal surge in new businesses

Pakistan saw 154,638 new commercial registrations in Q1 2025, a 48% surge compared to Q1 2024. These businesses span e-commerce, cloud services, VR/AR, fintech—you name it. This explosion reflects bold reforms making company formation quicker, easier, and more inclusive: 71% of registrations are concentrated in Riyadh, Makkah, and the Eastern Province. This density fosters vibrant local ecosystems and valuable networking opportunities.

3. Tech & Digital revolution in Saudi Arabia

Saudi Arabia is aggressively investing in digital infrastructure. In Q1 2025:

• 3,278 cloud computing licenses issued (+33%)

• 8,218 VR/AR permits (+39%)

These gains are backed by mega‑projects like NEOM and Jeddah Central, as well as robust support from the Ministry of Commerce. For global tech firms, this signals government support, rising demand, and a landscape—both physical and regulatory—designed to accelerate innovation-led businesses.

4. Regulatory reforms enhance business accessibility

New laws such as the Consolidated Commercial Registry and Trade Name Act (2025) have merged multiple registries, introduced unified business naming, and eliminated several bureaucratic steps. Company setup now takes mere days, not weeks. This enhanced transparency and efficiency remove barriers to entry—crucial for international investors seeking speed and certainty in market entry strategies.

5. Hub for global regional headquarters

Saudi Arabia now hosts over 540 international companies with regional headquarters—surpassing its own 2030 target of 500. Major multinationals, attracted by incentives like 30-year corporate tax exemptions, are choosing Riyadh as their Gulf HQ. This gives newcomers immediate access to a growing B2B network, regional partnerships, and public sector contracts across the MENA region.

How PEAK Ventures helps you scale

We work with you to:

1. Analyze target sectors and identify where your strengths align

2. Navigate company setup – from entity registration to licensing

3. Source local partners and build your business network

4. Execute operations on the ground — from launch to long-term growth
   

With our guidance, you don't just enter the Saudi market—you thrive in it.

This article was written with the assistance of AI.