Saudi Round-Up: Investment Licenses and RHQs on the Rise
This week's roundup spotlights the biggest stories in the Saudi sports, tourism, and construction industries.
From 10 February to 17 February 2025
General Business and Economy
Saudi Arabia’s Economy Surpasses $1.1 Trillion as Non-Oil Sector Expands
Saudi Arabia’s economy reached $1.1 trillion, with non-oil activities contributing 52% of GDP.
The number of investment licenses rose tenfold to 40,000 from 4,000 in 2019. Private-sector investments nearly doubled to $320 billion from $160 billion before Vision 2030.
MISA Issue Over 14,000 Licenses in 2024
The Ministry of Investment issued 14,303 licenses in 2024, marking a 67% year-on-year increase, excluding Tasattur-related permits. The last quarter alone recorded 4,597 new licenses, with construction and manufacturing leading the sectors.
The sharp rise in investment licenses underscores Saudi Arabia’s stability, regulatory improvements, and commitment to developing a dynamic, investor-friendly market.
Saudi Arabia Becomes a Top Destination for Regional Headquarters
Nearly 600 global companies have chosen Saudi Arabia as their regional headquarters (RHQs), surpassing the original Vision 2030 target of attracting 500 companies.
Automotive
Saudi Arabia Launches 2 Million Square Meter Automotive Hub
Masarat Mobility Park, a 2-million-square-meter automotive hub in King Abdullah Economic City, has been launched to boost Saudi Arabia’s industrial and economic diversification. The project, supported by key private-sector investors, aims to attract global automotive suppliers and enhance the Kingdom’s role in mobility solutions.
Ceer Secures SAR5.5 Billion in Agreements to Localize EV Production
Ceer, Saudi Arabia’s first electric vehicle brand, signed SAR5.5 billion ($1.5 billion) worth of agreements at the PIF Public Sector Forum, with over 80% involving Saudi companies. These partnerships will supply critical vehicle components and charging equipment, ensuring that 45% of production is localized.
This initiative strengthens Saudi Arabia’s automotive sector by fostering local expertise and job creation. By building a sustainable EV ecosystem, Ceer is advancing Vision 2030’s industrial diversification goals while positioning the Kingdom as a key player in the global electric vehicle market.
Aviation
Saudia Expands Network with 10+ New Destinations
Saudia has announced over ten new destinations for 2025, including Vienna, Venice, Athens, Bali, and Antalya. The airline saw a 16% rise in passenger transport last year and is implementing a strategic expansion plan to enhance global connectivity.
With flights now spanning over 100 destinations across four continents, Saudia aims to support Saudi Arabia’s national aviation strategy of reaching 250 destinations by 2030.
Construction
ROSHN Group Strengthens Local Construction with SAR1.5 Billion Deals
ROSHN Group secured SAR1.5 billion in agreements to develop infrastructure, retail, and residential units in its flagship SEDRA Community in Riyadh. The contracts have been awarded to Saudi-based contractors and an international firm investing in local operations.
The agreements include over 1,900 new residential units, a district retail mall, and sports facilities, contributing to the Kingdom’s ambition of creating vibrant, sustainable communities.
Diriyah’s $64B Transformation Nears Key Milestones
Diriyah’s massive infrastructure overhaul, including 60,000 underground parking spaces and pedestrian-friendly zones, is set for completion by 2027. With 40,000 workers on-site daily, the project is generating revenue through early property sales, exceeding SR13 billion in deposits.
NEOM Unveils Hidden Marina as First Phase of THE LINE
Hidden Marina will be the first phase of NEOM’s THE LINE, marking a major step in futuristic urban living. Spanning 2.5 kilometers and rising 500 meters, the vertical city will house over 200,000 residents across interconnected modules.
Currently, 140,000 workers are engaged in its construction, with major investments exceeding $140 billion.
Riyadh Creative District to Strengthen Saudi Arabia’s Creative Economy
The Royal Commission for Riyadh City has launched the Riyadh Creative District, aiming to establish the capital as a global media and creative hub. This initiative will integrate with Riyadh’s major development projects, fostering collaboration between creatives, industry leaders, and emerging talent to drive cultural and technological advancements.
Energy
Hyundai E&C Secured $389M Saudi Transmission Projects
Hyundai Engineering & Construction won contracts for a 380 kV transmission line project commissioned by the Saudi Electricity Company. The $389 million project involves constructing transmission lines in the Medina and Jeddah regions to connect planned solar power plants to the grid, reinforcing the Kingdom’s renewable energy infrastructure.
The Medina transmission network will span 311 km, linking an inland solar plant to a substation near Medina, and the Jeddah network will cover 180 km, connecting Qurayyat’s coastal solar plant to Mecca’s grid.
Sports
Saudi Arabia Becomes First West Asian Host of the Asian Winter Games
Saudi Arabia officially received the Olympic Council of Asia’s flag, marking its role as host of the 2029 Asian Winter Games in NEOM. The handover took place during the closing ceremony of the 9th edition in China, attended by top officials and representatives from 45 Asian nations.
Technology
LEAP 2025 Concludes with $14.9 Billion in Investments and Global Expansion
The fourth edition of LEAP 2025 secured over $14.9 billion in investments, solidifying Saudi Arabia’s position as a global tech hub. Over 200,000 attendees, 1,800 international firms, and 1,000 global speakers gathered to showcase AI, cloud computing, and digital infrastructure advancements. Key partnerships included a $1.5 billion AI investment with Groq and Aramco Digital.
LEAP’s success highlights Saudi Arabia’s digital transformation under Vision 2030, accelerating entrepreneurship and innovation.
Qualcomm and Aramco Digital Unveil AI-Enabled 5G Industrial Smartphone
Qualcomm and Aramco Digital introduced the world’s first AI-powered industrial 5G smartphone supporting the 450MHz spectrum at LEAP 2025. This device enables seamless connectivity for IoT devices, edge computing, and industrial applications, enhancing operational efficiency, safety, and sustainability.
This innovation aligns with Saudi Arabia’s Vision 2030 by accelerating industrial digitalization and technological leadership.
Equinix Invests $1B in Saudi Data Center
Equinix announced a $1 billion investment to establish a large-scale data center in Saudi Arabia to meet rising demand for AI, cloud computing, and enterprise workloads. The facility will provide 100 megawatts of capacity, supporting hyperscale and retail customers while generating jobs in the technology sector.
The tech ecosystem received additional momentum as Saudi startups secured $494 million in funding for AI, deep tech, and logistics, reinforcing Saudi Arabia’s push to become a global digital leader.
NEOM and DataVolt Launch $5 Billion AI-Powered Data Center in Oxagon
NEOM partnered with DataVolt to develop a large-scale AI-driven data center in Oxagon, with an initial investment of $5 billion. This project aims to create a sustainable digital infrastructure fully powered by renewable energy, addressing the high energy demands of AI and reinforcing Saudi Arabia’s leadership in AI and digital transformation.
Saudi Arabia Leads MENA in Startup Funding Growth
Saudi Arabia’s startup funding grew at a 49% CAGR from 2020 to 2024, surpassing the MENA region's 4% growth. Government-backed initiatives and private-sector collaboration played a crucial role in this surge, driving investment in early-stage companies and accelerating their transition to Series A funding.
Saudi Arabia accounted for 32% of total regional funding and 24% of all deals, indicating a thriving but still maturing startup ecosystem.
Tourism
Largest Courtyard by Marriott Set for Saudi Arabia
Marriott International partnered with Al Qimmah Hospitality and Amwaj Real Estate to develop a record-breaking 2,179-room Courtyard by Marriott in Makkah’s Al Naseem District. Expected to open in 2026, it will be the largest hotel under the brand worldwide, featuring seven towers, a massive restaurant, and modern amenities.
Six Flags to Operate Qiddiya’s Theme Parks, Boosting Saudi’s Tourism Sector
Six Flags has signed an agreement with Qiddiya Investment Company to operate Six Flags Qiddiya City and Aquarabia, both set to open in late 2025. The partnership ensures world-class entertainment experiences, with Qiddiya City featuring 28 rides, including the record-breaking Falcon’s Flight coaster, while Aquarabia will host 22 state-of-the-art water attractions.
Qiddiya is a cornerstone of Vision 2030, aiming to diversify the economy and establish Saudi Arabia as a global tourism hub. Alongside Six Flags, the city will feature cutting-edge attractions like a Dragon Ball theme park, an immersive F1 circuit, and a performing arts center enhanced with VR and AI technologies.
Saudi Tourism Authority Launches AI Tour Guide ‘Sara’
The Saudi Tourism Authority has introduced “Sara,” an AI-powered smart tour guide, through the "Spirit of Saudi Arabia" platform. Designed to provide interactive experiences and real-time recommendations, “Sara” integrates advanced AI with authentic Saudi culture, catering to tourists in multiple languages.
