Saudi Round-Up: Industrial Sector Attracts Global RHQs
This weekly's roundup features latest developments in industrial sector as well as technology, tourism and entertainemnt.
From 6 January to 13 January 2025
This week, Saudi Arabia continued to exceed Vision 2030 goals, setting records in investment licensing and commercial registrations.
General Business and Economy
571 Global Companies Relocate Their Headquarters to Saudi Arabia
A total of 571 global companies moved their regional headquarters to Saudi Arabia, most of which are based in Riyadh’s King Abdullah Financial Center. Minister of Investment Eng. Khalid Al-Falih shared that this shift is progressing as planned, with a significant number of these companies being from the industrial sector.
The government is offering incentives to attract further industrial investments, having already supported 33 projects valued at SR310 billion. The industrial sector saw an impressive SR142 billion in investments during the first three quarters of 2024.
Saudi Non-Oil Economy Closes 2024 with Strongest Sales Growth; PMI at 58.4
Saudi Arabia's non-oil sector capped off 2024 with remarkable growth, as the Purchasing Managers’ Index (PMI) recorded 58.4 in December. Riyad Bank’s data highlighted increased domestic and international demand, with new export orders hitting a 17-month high.
Riyad Bank’s Chief Economist, forecasts a 4%+ growth in non-oil GDP for 2024 and 2025, fueled by growing market confidence, increased demand, and a steady export rise, despite some inflationary pressures.
Saudi Arabia Reports 67% Surge in Q4 2024 Commercial Registrations, Topping 160,000
Saudi Arabia’s Ministry of Commerce reported a 67% year-on-year increase in new commercial registrations for Q4 2024, with over 160,000 new entries recorded. This surge boosts the Kingdom's active commercial registrations to more than 1.6 million, reflecting significant growth in sectors aligned with Saudi Vision 2030, including e-commerce, cloud computing, and tourism.
The rise also highlights increased business participation from women, who account for 44% of licenses, and young Saudis, comprising 38%.
Saudi Industrial Production Index Climbs 3.4% in November 2024
Saudi Arabia's Industrial Production Index (IPI) climbed 3.4% year-on-year in November 2024, reaching 103.78 points compared to 100.37 in November 2023, as reported by the General Authority for Statistics (GASTAT).
Mining and quarrying rose 1.2% YoY, driven by a boost in oil production, which reached 8.93 million barrels per day, up from 8.82 million a year prior. Manufacturing surged by 7.2% YoY, with a standout 17.6% rise in coke and refined petroleum products, alongside significant growth in chemicals, chemical products, and food production. The IPI reflects shifts in production quantities as raw materials are transformed into economic value-added goods.
Saudi Arabia Launches SAR 9 Billion Middle East Livestock Megacity to Boost Food Security
Saudi Arabia launches the Middle East’s largest livestock city, a SAR 9 billion initiative to reinforce self-sufficiency in livestock products and strengthen food security under Vision 2030.
Spanning 11 million square meters in Hafr Al-Batin Governorate, the project aims to supply 30% of the Kingdom's red meat needs and create over 13,000 jobs. The site will also leverage renewable energy, generating 15 billion kilowatt-hours of green electricity annually. Expected outputs include 140,000 liters of milk daily, 100 tons of feed per hour, and 1.5 million meters of hides, alongside a 170,000-square-meter automated slaughterhouse.
Aviation
Riyadh International Airport Named World’s Most Punctual Airport
Riyadh International Airport has been named the world’s most punctual airport by aviation analytics firm Cirium, outperforming over 17,000 global airports in on-time departures and arrivals.
Punctuality is defined as flights departing or arriving within 15 minutes of the scheduled time. The recognition places Riyadh as a global leader in operational efficiency, showcasing its commitment to exceptional service and reliability in air travel.
Entertainment
WWE Royal Rumble to Make Historic Debut in Saudi Arabia in 2026
The WWE Royal Rumble will be held in Riyadh, Saudi Arabia, for the first time in 2026, marking the event’s first appearance outside of North America. The 39th edition of this flagship annual event will take place in January 2026, in partnership with the Kingdom’s General Entertainment Authority as part of Riyadh Season.
The event promises to offer an exciting experience, with both men's and women's matches and is set to attract a broad international audience. This move reflects Saudi Arabia’s ongoing commitment to expanding its entertainment sector.
AFC Asian Cup 2027: Saudi Arabia Announces Dates, Stadiums, and Participating Nations
The AFC Asian Cup 2027 will take place in Saudi Arabia from January 7 to February 5, marking the Kingdom’s first time hosting Asia’s top football tournament. Matches will unfold across eight stadiums in Riyadh, Jeddah, and Al Khobar.
Eighteen nations have secured spots, including Saudi Arabia, Japan, and Australia, with six more to qualify in the final round. This event builds on Saudi Arabia's growing legacy of hosting global sports, aligning with Vision 2030’s goals of elevating the Kingdom's sporting prominence.
Riyadh Season 2024 Hits Record 16 Million Visitors
Riyadh Season 2024 has reached a historic milestone, welcoming over 16 million visitors since its launch in October. The "Dunes of Arabia" area, perfect for winter and camping enthusiasts, and the "Boulevard Runway," which attracted aviation fans, contributed to the season’s record-breaking attendance.
The success was further amplified by the mid-term break, drawing both local and international crowds to experience Riyadh’s offerings.
Technology
Saudi Arabia Unveils Micro Data Center to Enhance Statistical Insights
Saudi Arabia’s General Authority for Statistics (GASTAT) has introduced a Micro Data Center aimed at delivering precise and accessible statistical data. The initiative is designed to support decision-makers across sectors and offers innovative tools for analysis, modeling, and planning to address future economic and social challenges.
The center provides structured, semi-structured, and unstructured data, enabling descriptive and predictive analyses to meet the growing demand for reliable statistics. It integrates seamlessly with government entities, contributing to strategic planning and the goals of Saudi Vision 2030.
Tourism
Saudi Arabia’s Domestic Tourism Soars with 44% Growth in 2024 Bookings
Saudi Arabia’s domestic tourism sector hit a remarkable 44% growth in bookings in 2024. Key drivers of this growth included family and group travel, with a 70% increase. The shift towards budget-friendly accommodations and increased interest in alternative lodging options also contributed to the sector's success.
With online booking platforms becoming more prevalent, app bookings surged by 67%, emphasizing the country’s move towards a digital tourism ecosystem.
Industrial Manufacturing
Saudi Arabia Invests $2.66 Billion to Boost Industrial Growth Through New Incentives Program
Saudi Arabia has allocated $2.66 billion to boost its industrial sector through the Standard Incentives Program. Launched during an event on January 11, the program supports key sectors like chemical industries, automotive, and machinery. The program divides financial support across the project lifecycle, offering 50% during construction and the rest during production.
This move aligns with Saudi Arabia’s Vision 2030 to reduce oil dependence by enhancing industrial competitiveness globally. The program is expected to generate SR23 billion annually in GDP and stimulate non-oil exports, strengthening economic resilience.
Japan-Saudi Vision 2030 Ministerial Roundtable Focuses on Strengthening Future Cooperation
A Japanese government delegation attended the Vision 2030 Ministerial Roundtable in Riyadh on January 12, 2025, alongside Saudi officials to discuss ongoing and future cooperation. The discussions emphasized deepening ties in culture, sports, education, and research, following progress made since the last meeting in December 2023.
The talks also celebrated the 70th anniversary of diplomatic relations and reaffirmed Japan's commitment to strengthening bilateral ties. Additionally, the delegation expressed hopes for the success of EXPO 2025 in Osaka and a smooth transition to Riyadh for EXPO 2030.
Saudi University Signs 15 Agreements to Boost Research in Defense, AI, and Nuclear Tech
A leading Saudi university has signed 15 agreements with key government bodies and major corporations to advance research in defense, artificial intelligence (AI), and nuclear technologies. The agreements were finalized in a ceremony in Dhahran.
Key highlights include partnerships to advance nuclear and renewable energy technologies, develop skills through educational programs, and improve defense research infrastructure. Other collaborations involve research on clean energy transportation, sustainable materials, and biomedical innovations. The university also teamed up with various entities to provide scholarships, promote academic exchanges, and support entrepreneurship.
Expansions
HyperPay Secures SAMA License to Expand Digital Payment Services in Saudi Arabia
HyperPay, a leading MENA-focused payments provider, has obtained a license from the Saudi Central Bank (SAMA) to enhance digital payment services in Saudi Arabia. The license enables HyperPay to offer secure electronic wallet solutions, aligning with Saudi Vision 2030's goals of financial efficiency and digital transformation.
HyperPay has also partnered with ACI Worldwide to introduce AI-driven payment innovations and plans to go public within two years to expand its footprint across the MENA region.
Newlab Expands to Saudi Arabia to Catalyze Critical-Tech Ecosystem
Newlab, a global venture platform for critical technology startups, has announced its expansion into Saudi Arabia through an integrated public-private partnership involving multiple public sector agencies and leading industry partners.
Newlab Riyadh, set to open this year, will join the global VC growing network of hubs, attracting leading critical-tech startups to Saudi Arabia.
SEALSQ in Cooperation with WISeKey Expands Footprint in Saudi Arabia
SEALSQ Corp (NASDAQ: LAES) has announced its expansion in Saudi Arabia through a partnership with WISeKey International Holding.
These companies will form a joint venture, WISeKey Arabia, with the Juffali Group. This JV aims to support Saudi Arabia's digital transformation and cybersecurity initiatives aligned with Vision 2030, with a focus on implementing quantum-resistant cryptographic technologies, including public key infrastructure (PKI), digital identity management, and IoT security solutions,
Stay tuned for next week’s Saudi Round-Up as we explore the latest breakthroughs, investments, and cultural milestones shaping Saudi Arabia's future.
