Saudi Arabia Attracts Foreign Direct Investment (FDI)

Riyadh Chamber of Commerce and Industry discusses Foreign Direct Investment (FDI). While foreign direct investment weakened to Saudi Arabia in 2013, the Kingdom remains the most attractive destination for foreign investment in the Arab world according to the United Nations Conference on Trade and Development (UNCTAD) and “World Investment Report 2013.” The FDI inflows slowed down by 25% in 2012 to USD 12.2 billion. Despite the slowdown Riyadh Chamber of Commerce and Industry sees improved environment for the FDI.

“Regarding FDI as well as local investment, had the economy been doing well and we have been doing fine, this will be more attractive for both local Saudi and international businesses; therefore, the future of the FDI in Saudi Arabia is promising. I also believe that SAGIA (Saudi Arabia’s General Investment Authority) is doing its best in attracting foreign investments into the Kingdom. At the same time, the government injected huge amounts of funds into the market, which have created a good environment not only for local Saudi investors but also for non-Saudis who are interested in investing in Saudi Arabia. Therefore, I imagine the future is bright in this connection as the Saudi government encourages FDI and has already established SAGIA to look after investments, both internally and externally. I suppose foreign investment is a good indication of how smartly the government is tackling this issue, especially foreign investments, and attracting such assets into the country,” said Dr. Mohammed H. Al Kathiri, Secretary-General of RCCI.

“Six months ago, the Chamber has formed a committee and termed it the International Cooperation Committee. This committee has comprised several foreign investor CEOs from major companies investing in Saudi Arabia. It watches over obstacles facing those investors who invest in Saudi Arabia and contacts government agencies to facilitate procedures and remove such obstacles. This is essentially a direct support to foreign investors, knowing that all activities of the Chamber are streamlined to facilitate procedural processes and help the private sector in general, including foreign investors as well, to work in a friendly environment,” he added.