HLB International’s Post

In recent years, Saudi Arabia is intensifying efforts to attract foreign investment and establish itself as a lure for investors to achieve its Vision 2030. The Kingdom’s ongoing provision of facilities and services has resulted in the formation of an exceptional investment base and environment in Saudi Arabia, owing to the country’s enormous oil and financial wealth. In the start of 2023, foreign investments totaling 8.1 billion Saudi riyals were brought into Saudi Arabia, a 10.3% rise from the previous year. More details about Saudi Arabia’s Foreign Investment in this article: arabisklondon.com/9752 #invest #saudiarabia #saudivision2030 #saudiarabiabusiness

Net foreign direct investment (FDI) inflows to Saudi Arabia rose 5.6% to 9.5 billion riyals ($2.53 billion) in Q1 2024, according to government data. Compared to a year earlier, inflows increased by 0.6% to 17 billion riyals, while outflows dropped by 5.1% to 7.5 billion riyals. The kingdom aims to attract $100 billion in FDI by 2030 as part of Crown Prince Mohammed bin Salman's strategy to diversify the economy away from oil. Despite Saudi Aramco's recent $11.2 billion secondary share sale to foreign investors, FDI remains below the 2030 target, peaking at $32.8 billion in 2022 and reaching $19.2 billion last year. #EconomicDiversification #SaudiVision2030 #ForeignInvestment

✍ Recent data has confirmed concerns raised last year about Saudi Arabia's massive investments in football and futuristic cities potentially increasing its oil dependence. In 2018, the kingdom required oil prices of $44 per barrel to fund imports and outward remittances. However, by early 2024, this break-even price had surged to $71 per barrel, marking a significant 61% increase. This striking rise in Saudi Arabia's oil price requirements reveals that despite ongoing diversification efforts, the country's ambitious projects are actually deepening its reliance on oil revenues. The situation highlights the challenge Saudi Arabia faces in balancing its grand economic transformation visions with fiscal realities, raising questions about the sustainability of its current economic strategy and the potential risks of its high-stakes approach to development and diversification.

𝗘𝘅𝗰𝗶𝘁𝗶𝗻𝗴 𝗡𝗲𝘄𝘀: 𝗦𝗮𝘂𝗱𝗶 𝗔𝗿𝗮𝗯𝗶𝗮'𝘀 𝗖𝗿𝗲𝗱𝗶𝘁 𝗥𝗮𝘁𝗶𝗻𝗴 𝗨𝗽𝗴𝗿𝗮𝗱𝗲𝗱 𝗔𝗴𝗮𝗶𝗻! 🔆 𝙈𝙤𝙤𝙙𝙮'𝙨 Raised Saudi Arabia's credit rating to Aa1 from Aa2. Reasons: ✔️ Increased policy predictability. ✔️ Positive impact of government decision-making on the private sector. ✔️ Structural reforms. ✔️ Reduced reliance on oil revenues. ✔️ Ongoing improvement in fiscal capacity. ✔️ Mitigation of debt-related risks. ✔️ Enhanced financial and monetary stability. ✔️ Zero gap between foreign and local currency ratings, supported by a substantial foreign exchange reserve, indicating very low transfer and convertibility risks. 𝙎&𝙋 𝙂𝙡𝙤𝙗𝙖𝙡 Raised Saudi Arabia's rating to A/A-1. Reasons: ✔️ Structural reforms. ✔️ Economic and fiscal improvements. ✔️ Reduced dependence on oil revenues. ✔️ Continued economic strengthening reforms. ✔️ Implementation of non-oil economic diversification programs. ✔️ Sustainable management of oil revenues. #SaudiArabia #FinancialStability #EconomicDiversification #policy #impact #government #private #oil #improvement #risks #currency #substantial #management #economicgrowth #economy

Investing in Saudi Arabia in 2024 Saudi Arabia: Selected Economic Indicators, 2021–24 Population: 32.2 million (2022) Quota: SDR 9,992.6 million (2.10% of total) Main products and exports: Oil and oil products (79.5%) Key export markets: Asia, the U.S., and Europe In this guide, we look at investing in Saudi Arabia, the Vision 2030 objectives, and recent business-friendly reforms that support the private sector. We also discuss key legal issues that foreign investors need to know about when considering investing in the Kingdom.  👉 https://lnkd.in/dT45hwKp #saudiarabia #investment #saudivision2030 #privatesector

Pakistan and Saudi Arabia have agreed to increase Saudi deposits in the State Bank of Pakistan (SBP) by $2 billion, raising it from $3 billion to $5 billion. Mohammad AlQahtani, CEO of Saudi Arabia Holding Co, announced the development on LinkedIn. The agreement was reached during talks between Pakistani Prime Minister Muhammad Shehbaz Sharif and Saudi Crown Prince Mohammed Bin Salman at Al-Safa Palace in Makkah. Discussions focused on strengthening bilateral ties and expanding cooperation across sectors. Both nations reaffirmed their commitment to fast-track a $5 billion investment package. Saudi Arabia also pledged investments in a new oil refinery and copper mines in Pakistan. #PakistanSaudiArabia #InvestmentAgreement #BilateralRelations #EconomicCooperation #OilRefinery #CopperMines #SBP

Foreign Direct Investment (FDI) plays a vital role in shaping Saudi Arabia’s economic future as envisioned in its Vision 2030 plan. As the country moves away from oil dependency, FDI is essential for driving economic diversification, encouraging innovation and establishing a sustainable economic model. Read More: https://lnkd.in/dvSFveEv #foreigndirectinvestment #fdi #saudiarabia #investmentopportunities #economicdiversification

Saudi Arabia saw a 5.6% increase in net foreign direct investment (FDI) flows in the first quarter of 2024 compared to the same period the previous year. According to the latest data from the General Authority for Statistics (GASTAT), the net FDI flow reached SAR9.5 billion ($2.53 billion) in the first three months of 2024, up from SAR9 billion in the first quarter of 2023. Read more: https://lnkd.in/dTcYDsi2 #SaudiArabia #FDI #Investment #Economy

Pakistan and Saudi Arabia have agreed to increase Saudi deposits in the State Bank of Pakistan (SBP) by $2 billion, raising it from $3 billion to $5 billion. Mohammad AlQahtani, CEO of Saudi Arabia Holding Co, announced the development on LinkedIn. The agreement was reached during talks between Pakistani Prime Minister Muhammad Shehbaz Sharif and Saudi Crown Prince Mohammed Bin Salman at Al-Safa Palace in Makkah. Discussions focused on strengthening bilateral ties and expanding cooperation across sectors. Both nations reaffirmed their commitment to fast-track a $5 billion investment package. Saudi Arabia also pledged investments in a new oil refinery and copper mines in Pakistan. #PakistanSaudiArabia #InvestmentAgreement #BilateralRelations #EconomicCooperation #OilRefinery #CopperMines #SBP

Raising to such top rating only comes from key factors , leadership with a strong vision followed by structured and sustainable reforms in a stable growing country .