+ All Categories
Home > Documents > Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating...

Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating...

Date post: 07-Feb-2018
Category:
Upload: truongmien
View: 214 times
Download: 0 times
Share this document with a friend
34
Saudi Arabia Beyond Oil March 2017
Transcript
Page 1: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

Saudi ArabiaBeyond Oil

March 2017

Page 2: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

22

Page 3: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

3

Page 4: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

Saudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike. The Government has committed itself to Vision 2030: the Kingdom’s roadmap to a brighter and more sustainable future through creating a vibrant society, a thriving economy, and an ambitious nation. In this effort, we are inviting investors to take part in our next success story, ushered in by a new generation of investments in Vision 2030, for a new generation economy.

The Kingdom offers investors an unparalleled opportunity: Not only can they tap into large and growing markets domestically and beyond Saudi Arabia’s borders using the Kingdom as a launch pad; they can also invest in a country that – as part of its 2030 strategy – is inviting the private sector to play a role in providing lucrative goods and services in areas previously occupied by the public sector.

These opportunities are being developed in an environment that is home to one of the most liberal investment laws in the region where investors can own %100 of their business alongside with many other business-friendly regulations and incentives.

As we welcome you to the Kingdom, it is our aim to provide you with a unique investor experience supported by a country that is committed to help you establish and expand your business.

It is my pleasure to invite you to explore what the Kingdom has to offer.

Dr. Majid Al-KassabiMinister, Commerce and Investment

4

Page 5: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

5

Saudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike. The Government has committed itself to Vision 2030: the Kingdom’s roadmap to a brighter and more sustainable future through creating a vibrant society, a thriving economy, and an ambitious nation. In this effort, we are inviting investors to take part in our next success story, ushered in by a new generation of investments in Vision 2030, for a new generation economy.

The Kingdom offers investors an unparalleled opportunity: Not only can they tap into large and growing markets domestically and beyond Saudi Arabia’s borders using the Kingdom as a launch pad; they can also invest in a country that – as part of its 2030 strategy – is inviting the private sector to play a role in providing lucrative goods and services in areas previously occupied by the public sector.

These opportunities are being developed in an environment that is home to one of the most liberal investment laws in the region where investors can own %100 of their business alongside with many other business-friendly regulations and incentives.

As we welcome you to the Kingdom, it is our aim to provide you with a unique investor experience supported by a country that is committed to help you establish and expand your business.

It is my pleasure to invite you to explore what the Kingdom has to offer.

Dr. Majid Al-KassabiMinister, Commerce and Investment

5

Page 6: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

Index

Saudi Arabia at a glance

The Saudi Market

A World-Class Investment Environment

Infrastructure Optimized for Business

Diverse Property Solutions

A Young and Competitive Workforce

Quality of life

Success Stories

SAGIA – Here to Help

66

Page 7: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

Index

Saudi Arabia at a glance

The Saudi Market

A World-Class Investment Environment

Infrastructure Optimized for Business

Diverse Property Solutions

A Young and Competitive Workforce

Quality of life

Success Stories

SAGIA – Here to Help

7

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

. . . . . . . . . . . . . . . . . . . . 12

. . . . . . . . . . . . . . . . . . . . . . 15

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

. . . . . . . . . . . . . . . . . . . . . . . . 21

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30

Page 8: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

S a u d i A r a b i a a t a g l a n c e

8

Page 9: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

S a u d i A r a b i a a t a g l a n c eTotal Population

31.7 Million

GDP $640 Billion

Percentage of Youth (under 25)

50%

20thLargest Economy

5thHighest Growth

(G20)

17thLargest Exporter

29thLargest Importer

Population Growth Rate 2.5%

FDI Inward Stock $224 Billion

Population Growth Rate

9

Page 10: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

T h e S a u d i M a r k e t

10

Page 11: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

The Saudi Arabian market is underpinned by fundamentals that make the Kingdom both a lucrative and sustainable place to invest. With a population nearly 32 million strong, the domestic market is fueled by a young and commercially savvy consumer base that is rapidly growing at a rate of 2.5% per year. The Kingdom’s average consumer enjoys relatively high purchasing power, creating a commercial environment that is regionally unique: nowhere else can you find such a large market with the spending power to match.

From Saudi Arabia, investors will find themselves on an economically and politically stable launch pad to reach diversified business opportunities in Africa, Asia, and Europe. With a continuously enhanced world-class infrastructure linking Saudi Arabia to the outside world, Saudi-based businesses are only a five-hour flight away from 1.5 billion consumers in the exciting emerging and mature economies of Africa, Asia and Europe.

Though traditionally driven by government spending, the dynamics of the market are rapidly shifting to unveil new opportunities for local and foreign investors alike. Under Saudi Arabia’s Vision 2030 agenda – the Kingdom’s roadmap to a brighter and more sustainable future – the government is inviting the private sector to play a larger role in the delivery of goods and services as the Kingdom’s partner.

This market is complemented by a large and modern economy with strong foundations. Saudi Arabia has enjoyed an annual average increase in GDP of approximately 5% over the last five years; the Kingdom ranks 4th in macroeconomic stability, has the largest economy in MENA, and the 20th largest in the world; public debt in Saudi Arabia is the lowest in the G20.

2016 projected revenues ahead of estimate, registering SAR528bn out of which SAR199bn representing non-oil sector or %38 of the total revenues. The Kingdom’s balance sheet remains strong with SAMA’s FX assets estimated at %84 of GDP, the third largest in GDP terms globally. General government assets are considerably above %100 of GDP.

11

Page 12: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

A W o r l d - C l a s s I n v e s t m e n t E n v i r o n m e n t

12

Page 13: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

A W o r l d - C l a s s I n v e s t m e n t E n v i r o n m e n t

Saudi Arabia offers competitive regulations and attractive incentives to its investors, contributing to a world-class investment environment that enables them to quickly move from entering the market, to becoming key players in the market. Regulations include:

100%

Foreign Ownership

20%

CorporateTax

5%

FullRepatriation

• Equal benefits, incentives and guarantees for foreign and domestic investors

• 100% foreign ownership in most sectors across the Kingdom

• 100% property ownership for foreign investors

• The lowest value-added tax (VAT) in the world at %5

• One of the lowest corporate tax rates in the G20 set at 20% • The ability to fully repatriate capital, profits, and dividends, subject to a 5% with holding tax

• Customs exemption for machinery, equipment and raw materials used in manufacturing

Alongside its progressive commercial regulations, Saudi Arabia offers its investors a number of incentives including:

• Low-cost loans from the Saudi Arabian Industrial Development Fund (SIDF) and DUSSUR, the Saudi Industrial Investments Company.

• Export credit, financing, guarantees, and insurance through the Saudi Export Program (SEP)

• Tax exemptions from earnings on exports

• Tax credits on R&D investments

• Financial support for the training and employment of Saudi Nationals from the Human Resource Development Fund (HRDF)

13

Page 14: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

14

Furthermore, the government offers extra incentives to those who invest in specific regions including Hail, the Northern Border, Jazan, Al-Jouf, Najran, and Al-Baha. Investors can expect:

• A tax credit of up to 50% on a Saudi national worker’s payroll & training cost for 10 years

• Up to 75% capital investment funding with a 20 year maximum loan term

• A one time industrial capital investment credit of 15% carried forward up to 10 years

Vision 2030 additionally has been an agent for change for making further enhancements to the investment environment. Since its launch in April 2016, the government has:

• Established a new center for commercial arbitration

• Updated the Kingdom’s companies’ law to provide further protections for the rights of minority shareholders of businesses

• Enabled business visas to be issued within 24 hours

• Reduced the time needed to clear customs from 2 weeks to 24 hours

14

Page 15: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

I n f r a s t r u c t u r e O p t i m i z e d f o r B u s i n e s s

15

Page 16: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

The Kingdom boasts a comprehensive transportation network across land, sea, rail and air.

Over 60,000 km of roads are maintained by the Ministry of Transport and connect the Kingdom’s major cities and provide access to ports, railway stations, and airports. 12,000 km of which link Saudi Arabia’s regions to international borders and serve major urban areas.

Saudi Arabia has the largest marine network in the Middle East, including ten ports – six of which are container ports – on both the Red Sea, and the Arabian Gulf. These include:

• King Abdulaziz Seaport• Jubail Commercial Port• King Fahad Jubail Industrial Port• Ras Al-Khair Port• Jizan Port• Dhiba Port

Annually, 3.4 million tons of cargo and over 1 million passengers travel over Saudi Arabia’s steadily expanding 1,423 km long rail system. In December 2017, the Haramain High Speed Railway will begin operation, adding another 453 km of track linking the holy cities of Makkah and Medina via the King Abdullah Economic City, Rabigh, Jeddah, and King Abdulaziz International Airport.

Saudi Arabia has 27 airports spanning the country, with 4 principal airports:

• King Abdulaziz International Airport, Jeddah• King Khalid International Airport, Riyadh• King Fahd International Airport, Dammam• Prince Mohammed Bin Abdulaziz International Airport, Medina

• Jeddah Port• Yanbu Commercial Port• King Fahad Yanbu Industrial Port• King Abdullah Port at the King Abdullah Economic City

16

Page 17: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

17

The Kingdom boasts a comprehensive transportation network across land, sea, rail and air.

Over 60,000 km of roads are maintained by the Ministry of Transport and connect the Kingdom’s major cities and provide access to ports, railway stations, and airports. 12,000 km of which link Saudi Arabia’s regions to international borders and serve major urban areas.

Saudi Arabia has the largest marine network in the Middle East, including ten ports – six of which are container ports – on both the Red Sea, and the Arabian Gulf. These include:

• King Abdulaziz Seaport• Jubail Commercial Port• King Fahad Jubail Industrial Port• Ras Al-Khair Port• Jizan Port• Dhiba Port

Annually, 3.4 million tons of cargo and over 1 million passengers travel over Saudi Arabia’s steadily expanding 1,423 km long rail system. In December 2017, the Haramain High Speed Railway will begin operation, adding another 453 km of track linking the holy cities of Makkah and Medina via the King Abdullah Economic City, Rabigh, Jeddah, and King Abdulaziz International Airport.

Saudi Arabia has 27 airports spanning the country, with 4 principal airports:

• King Abdulaziz International Airport, Jeddah• King Khalid International Airport, Riyadh• King Fahd International Airport, Dammam• Prince Mohammed Bin Abdulaziz International Airport, Medina

• Jeddah Port• Yanbu Commercial Port• King Fahad Yanbu Industrial Port• King Abdullah Port at the King Abdullah Economic City

These airports connect passengers and cargo to 81 airports in 45 countries. In 2015, Saudi airports hosted 81 million passengers and 1.16 million tons of cargo.

The second pillar of Vision 2030 – to become a regional logistics hub – has set the Kingdom on a path to build upon the success of its existing logistics network, and leverage its unique location to give investors greater accessibility to domestic, regional and international markets.

As one of the world’s largest producers of energy, Saudi Arabia is able to offer investors electricity and water at very competitive prices.

The Kingdom has always been leader in developing and enhancing its digital infrastructure as one of the first countries in the region to introduce 3G services in 2004, and LTE in 2011. The Kingdom’s 17,000 km fiber optic network in all major cities offers fast Internet at affordable prices.

Indicative Cost $US

EthanePortable Industrial Methane TransportIndustrial

WaterM3/Month

GasMBTU

DieselPer barrelLand

M2/YearElectricity

Kwh

17

3.4 million tons of

cargo travel over our rail

system annually

Page 18: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

D i v e r s e P r o p e r t y S o l u t i o n s

Saudi Arabia offers investors a wide range of property solutions with a large supply of industrial land and commercial real estate across the country. The Kingdom has over 40 industrial and economic cities managed by the Saudi Industrial Property Authority (MODON), the Royal Commission for Jubail and Yanbu (RCJY), and the Economic Cities Authority (ECA).

MODON

Established in 2001, the Saudi Industrial Property Authority (MODON) is responsible for the development and supervision of the industrial cities across the Kingdom. Currently, MODON oversees 35 cities covering an area of more than 190 million sqm, of which 50% has already been rented. Each city contains integrated infrastructure and services to support their respective industrial communities, and tailored services for small and medium sized enterprises (SMEs) including readymade factories. Ready-built factories are one of the pilot projects offered by (MODON) to serve industry in a number of industrial cities, serving medium and small entrepreneurs alike.

Land allocated within 20 days from the date of application submission.

Currently the investments in the industrial cities supervised by MODON exceed $133 billion, whereas more than 528,000 workers are employe.

The Royal Commission for Jubail and Yanbu

The Royal Commission for Jubail and Yanbu (RCJY) manages four world-class industrial cities: Jubail and Ras Al-khair on the east coast and the Jazan Economic City and Yanbu on the west coast. Jubail and Yanbu are fully developed autonomous cities, hosting diversified industries from petrochemical, mineral and synthetic material production to downstream and finished products.

The Jubail Industrial City – located 100 km northwest of Dammam – is the largest industrial city in the Middle East and is home to the world’s largest integrated petrochemical complex. Since its establishment in 1975, Jubail has become a major player in the global petrochemical market, attracting the top technical talent and business minds from 40 different countries. The city is comprised of two ports – commercial and industrial – located within a 44 sq. km artificial harbor.

18

Page 19: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

D i v e r s e P r o p e r t y S o l u t i o n s

Saudi Arabia offers investors a wide range of property solutions with a large supply of industrial land and commercial real estate across the country. The Kingdom has over 40 industrial and economic cities managed by the Saudi Industrial Property Authority (MODON), the Royal Commission for Jubail and Yanbu (RCJY), and the Economic Cities Authority (ECA).

MODON

Established in 2001, the Saudi Industrial Property Authority (MODON) is responsible for the development and supervision of the industrial cities across the Kingdom. Currently, MODON oversees 35 cities covering an area of more than 190 million sqm, of which 50% has already been rented. Each city contains integrated infrastructure and services to support their respective industrial communities, and tailored services for small and medium sized enterprises (SMEs) including readymade factories. Ready-built factories are one of the pilot projects offered by (MODON) to serve industry in a number of industrial cities, serving medium and small entrepreneurs alike.

Land allocated within 20 days from the date of application submission.

Currently the investments in the industrial cities supervised by MODON exceed $133 billion, whereas more than 528,000 workers are employe.

The Royal Commission for Jubail and Yanbu

The Royal Commission for Jubail and Yanbu (RCJY) manages four world-class industrial cities: Jubail and Ras Al-khair on the east coast and the Jazan Economic City and Yanbu on the west coast. Jubail and Yanbu are fully developed autonomous cities, hosting diversified industries from petrochemical, mineral and synthetic material production to downstream and finished products.

The Jubail Industrial City – located 100 km northwest of Dammam – is the largest industrial city in the Middle East and is home to the world’s largest integrated petrochemical complex. Since its establishment in 1975, Jubail has become a major player in the global petrochemical market, attracting the top technical talent and business minds from 40 different countries. The city is comprised of two ports – commercial and industrial – located within a 44 sq. km artificial harbor.

19

Page 20: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

On the Red Sea, the -40year-old industrial city of Yanbu has quickly become a center for modern industry. At present, the city holds 32 facilities supporting hydrocarbon, petrochemical and mineral operations, and a further 51 facilities for light and supporting industries. Yanbu, however, is expanding quickly to further accommodate investors seeking to leverage Yanbu’s strategic position on the Red Sea. At the end of Q3 2016, the aggregate investments by the city in the past 5 years reached $16 billion. These investors have been funneled into to expanding the area of the city by an additional 605 square km, lengthening the road network by 655 km, constructing more residential accommodation and public facilities, and enhancing industrial, commercial and residential utilities services.

The King Abdullah Economic City

The Economic Cities Authority (ECA) is the sole regulator of the King Abdullah Economic City (KAEC). Strategically located on the Red Sea coast, KAEC sits between major shipping routes to Europe and Asia and provides access to over 750 million consumers in the Red Sea region. The city boasts an Industrial Valley with the capacity to host over 2,500 manufacturers and logistics companies; a central business district complete with diverse residential options; and world-class educational institutions, including the soon to be opened Prince Mohammed Bin Salman College for Business and Entrepreneurship in partnership with Babson College. KAEC is home to over 120 global, regional, and local companies including Pfizer, Mars, Toys R’ Us, and the Olayan Group.

The beginning of operations of the Haramain High-speed railway at the end of 2017 will cut the duration of the 88km journey to Jeddah in half, enabling passengers and cargo to reach the city and the King Abdulaziz International Airport in 30 to 40 minutes.

20

Page 21: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

On the Red Sea, the -40year-old industrial city of Yanbu has quickly become a center for modern industry. At present, the city holds 32 facilities supporting hydrocarbon, petrochemical and mineral operations, and a further 51 facilities for light and supporting industries. Yanbu, however, is expanding quickly to further accommodate investors seeking to leverage Yanbu’s strategic position on the Red Sea. At the end of Q3 2016, the aggregate investments by the city in the past 5 years reached $16 billion. These investors have been funneled into to expanding the area of the city by an additional 605 square km, lengthening the road network by 655 km, constructing more residential accommodation and public facilities, and enhancing industrial, commercial and residential utilities services.

The King Abdullah Economic City

The Economic Cities Authority (ECA) is the sole regulator of the King Abdullah Economic City (KAEC). Strategically located on the Red Sea coast, KAEC sits between major shipping routes to Europe and Asia and provides access to over 750 million consumers in the Red Sea region. The city boasts an Industrial Valley with the capacity to host over 2,500 manufacturers and logistics companies; a central business district complete with diverse residential options; and world-class educational institutions, including the soon to be opened Prince Mohammed Bin Salman College for Business and Entrepreneurship in partnership with Babson College. KAEC is home to over 120 global, regional, and local companies including Pfizer, Mars, Toys R’ Us, and the Olayan Group.

The beginning of operations of the Haramain High-speed railway at the end of 2017 will cut the duration of the 88km journey to Jeddah in half, enabling passengers and cargo to reach the city and the King Abdulaziz International Airport in 30 to 40 minutes.

A Y o u n g a n d C o m p e t i t i v e W o r k f o r c e

21

Page 22: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

2222

At the heart of the Kingdom’s comparative advantages is its young population: Approximately half the country is under the age of 25, providing investors with a large and youthful pool of labor to draw from.

Saudi Arabia’s demographics are complimented by its commitment to education: over the last decade the government has spent nearly a quarter of its annual budgets on education and training programs to rapidly enhance the capability of the workforce and foster the development of knowledge-based economy. This has led to a marked increase in the number of institutions of higher learning and the number of Saudi students studying at universities across the country.

Government spending on education has also created landmark programs and institutions to further enable the Saudi workforce and knowledge based economy to reach the next stage of competitiveness.

The King Abdullah Scholarship Program

The King Abdullah Scholarship Program is the world’s largest government sponsored scholarship, annually providing approximately 180,000 Saudi students the opportunity to study at the best universities and institutions of higher learning abroad. Though one can find Saudi students studying any number of disciplines, roughly 75% are undertaking degrees in subjects geared towards the industries of tomorrow including engineering, business management, health, informatics, physics, and mathematics.

Though the United States is the most popular destination for King Abdullah scholars, Saudi students can be found from the UK, to France, to China.

Saudi Arabia has a young

population with 50% under 25 years of age

The King Abdullah University for Science and Technology

The King Abdullah University for Science and Technology (KAUST) is an international, graduate-level research institution. Founded in 2009 by the late King Abdullah bin Abdulaziz Al Saud, the university’s student body comprises over 100 different nationalities, working together to advance science and technology through collaborative research integrated within graduate study.

One of KAUST’s key elements is its approach to link research innovations to the needs and opportunities in the market through the Innovation and Economic Development Department. Between industry collaborations, a technology transfer office, and a research and technology park, the department provides strategically connected programs that maximize KAUST’s impact and contribution to economic diversification.

The Human Resource Development Fund

To assist investors in providing Saudi nationals with the specific skill set needed for their business, the government established the Human Resource Development Fund (HRDF). The HRDF provides financial support for the training and employment of Saudi citizens including up to 50 1 percent of an employees salary capped at SAR 4,000 monthly.

Page 23: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

The King Abdullah University for Science and Technology

The King Abdullah University for Science and Technology (KAUST) is an international, graduate-level research institution. Founded in 2009 by the late King Abdullah bin Abdulaziz Al Saud, the university’s student body comprises over 100 different nationalities, working together to advance science and technology through collaborative research integrated within graduate study.

One of KAUST’s key elements is its approach to link research innovations to the needs and opportunities in the market through the Innovation and Economic Development Department. Between industry collaborations, a technology transfer office, and a research and technology park, the department provides strategically connected programs that maximize KAUST’s impact and contribution to economic diversification.

The Human Resource Development Fund

To assist investors in providing Saudi nationals with the specific skill set needed for their business, the government established the Human Resource Development Fund (HRDF). The HRDF provides financial support for the training and employment of Saudi citizens including up to 50 1 percent of an employees salary capped at SAR 4,000 monthly.

23

Page 24: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

Q u a l i t y o f l i f e

24

Page 25: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

Q u a l i t y o f l i f e

Expatriates account for approximately a third of Saudi Arabia’s total population, some of who have lived in the country for 3 generations. Politically stable, well ordered and very safe environment, Saudi Arabian society places great emphasis on family life, safety, hospitality and tradition. Generous tax-free salaries, luxurious housing, and the minimum standard of 30 days paid vacation are all benefits offered to skilled expatriates. The cost of living is very reasonable: housing and transportation are a part of most expats’ salary packages; very little money needs to be spent to live in the Kingdom.

When working in the Kingdom, expatriates often choose to live in purpose-built gated communities called compounds. This luxurious housing is safe, comfortable, and often paired with extensive on-site facilities such as supermarkets, swimming pools, bowling alleys, gyms and even golf courses. There are numerous private schools that cater to the expat community. Some are governed by embassies, while others are privately organized and host multiple curricula.

Saudi Arabia has first-class health facilities, both public and private. Every major city has hospitals with plenty of well-trained staff and state-of-the-art equipment. English is widely spoken, especially among the private care providers: Many doctors and medical personnel are foreigners or Saudis nationals who received their training abroad.

Saudi Arabia is a shopper’s paradise, with everything from vast, gleaming, modern state of the art malls to vibrant souks selling spices, and traditional arts & crafts. Saudi Arabia offers spectacular scenery when you venture into the deserts, the mountains of Abha, or the beaches along the coast of the Arabian Gulf and the Red Sea. Among Saudi Arabia’s historic, cultural and scenic attractions are ancient castles, huge sand dunes and the spectacular coral reefs to explore and enjoy.

Tax free salaries, paid

education and first

class health facilities

25

Page 26: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

S u c c e s s S t o r i e s

81 Years of success

“Over the last decade we’ve made a tremendous amount of progress in the kingdom helped by good guidance across the government, we believe that we’ve gotten a good return on our investment for our shareholders too.”

John G. RiceVice Chairman GE

Dow

“Dow is truly honored to be the first company to receive a trading license and advance our legacy of strategic partnerships and investments in the Kingdom…Dow has been a strategic partner in Saudi Arabia for nearly 40 years and we look forward to playing a key role in helping advance the Saudi’s Vision 2030 plan designed to create a vibrant society and a thriving diversified economy”

Andrew N. LiverisDow Chairman and Chief Executive Office Dow Chemical Company

40 Years of success

General Electric

26

Page 27: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

S u c c e s s S t o r i e s

81 Years of success

“Over the last decade we’ve made a tremendous amount of progress in the kingdom helped by good guidance across the government, we believe that we’ve gotten a good return on our investment for our shareholders too.”

John G. RiceVice Chairman GE

Dow

“Dow is truly honored to be the first company to receive a trading license and advance our legacy of strategic partnerships and investments in the Kingdom…Dow has been a strategic partner in Saudi Arabia for nearly 40 years and we look forward to playing a key role in helping advance the Saudi’s Vision 2030 plan designed to create a vibrant society and a thriving diversified economy”

Andrew N. LiverisDow Chairman and Chief Executive Office Dow Chemical Company

40 Years of success

General Electric

27

Page 28: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

Honeywell

“We have found that Saudi presents a tremendous opportunity in terms of its local talent potential. The Saudi youth makes up more than 50 percent of the country’s population and this will provide a sustainable pipeline of talent to drive Saudi’s growth and economic diversification”

Norm Gilsdorf, PresidentHigh Growth Regions, Middle East, Russia, Central Asia, Honeywell

Four Decades of Success

“As a global leader in developing innovative solutions, our goal is to play an important role in the Kingdom’s effort to diversify its economy through knowledge and technology transfer. We will work closely with the Saudi government to enhance our manufacturing investment plans, invest in specialized research and development centers, and create high- value, technically sophisticated jobs.”

H. C. ShinExecutive Vice President forInternational Operations 3M

35 Years of success3M

28

Page 29: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

Honeywell

“We have found that Saudi presents a tremendous opportunity in terms of its local talent potential. The Saudi youth makes up more than 50 percent of the country’s population and this will provide a sustainable pipeline of talent to drive Saudi’s growth and economic diversification”

Norm Gilsdorf, PresidentHigh Growth Regions, Middle East, Russia, Central Asia, Honeywell

Four Decades of Success

“As a global leader in developing innovative solutions, our goal is to play an important role in the Kingdom’s effort to diversify its economy through knowledge and technology transfer. We will work closely with the Saudi government to enhance our manufacturing investment plans, invest in specialized research and development centers, and create high- value, technically sophisticated jobs.”

H. C. ShinExecutive Vice President forInternational Operations 3M

35 Years of success3M

2929

S o m e o f t h e g r e a t b r a n d s i n v e s t i n g i n S a u d i A r a b i a

Page 30: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

S A G I A H e r e t o H e l p

30

Page 31: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

S A G I A H e r e t o H e l p

Established in 2000, the Saudi Arabian General Investment Authority (SAGIA) is the Kingdom’s investment promotion agency, tasked with attracting diversified investments into the country and serving as an advocate for investors.

SAGIA facilitates introductions for investors to key stakeholders to support their business, and offers advice and services to companies from the initial planning stage of their investment to comprehensive after care once they have established themselves in the Kingdom.

Saudi Arabia is embarking upon an unprecedented and exciting journey under Vision 2030, with a compelling portfolio of investment opportunities. To find out more about how your business can be part of the Kingdom’s success story, please contact us.

SAGIA HeadquartersImam Saud Bin Abdulaziz Road - (University Road)

P.O. Box 5927, Riyadh 11432 - Kingdom of Saudi Arabia

T: + 966 11 203 5555, F: + 966 11 263 2894

E:[email protected]

www.sagia.gov.sa

31

Page 32: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

32

Page 33: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

33

Page 34: Saudi Arabia · PDF fileSaudi Arabia is in the midst of a transformation that is creating unprecedented and unparalleled opportunities for both investors and the Kingdom alike

www.sagia.gov.sa


Recommended