Saudi Arabia

Abdulrahman Ali Alshabeeshiri Almutairi, Saudi Arabia – Global Accounting Alliance Member

Economic Overview & Business Opportunities

Located on the continent of Asia, the country of Saudi Arabia occupies most of the Arabian Peninsula, with the Red Sea and the Gulf of Aqaba to the west and the Persian Gulf to the east. Its neighbouring countries are United Arab Emirates, Iraq, Jordan, Kuwait, Oman, Qatar, and Yemen.

The huge petroleum resource in Saudi Arabia is one of the important resources that generate revenue and boost the economic growth in the country. In other words, the economy of Saudi Arabia is centred on the petroleum resources. Saudi Arabia has been the world’s largest crude-oil exporter since 1970’s where Saudi Arabia is often referred to as the world’s ‘swing producer’. Energy has since supported the economic and social development of Saudi Arabia for several decades.

Why Does Saudi Arabia Attract Foreign Investors?

Despite the political turmoil in certain parts of the Middle East and North Africa, Saudi Arabia remained stable where investors view it as one of the attractive places to do business and invest.

Here are the reasons why:

1. Stable currency – The Saudi Riyal has its long-standing reputation as one of the world’s most stable currencies with no significant changes in its exchange value during the last three decades.
2. Largest economy in MENA– Saudi Arabia is one of the world’s 25 largest economies as well as the largest economy in the MENA (Middle East and North Africa Region).
3. Fast-growing economy – The Saudi Arabia remains as one of the world’s fastest growing countries worldwide.
4. Duty-free access – Saudi Arabia provides duty-free access to other GCC and MENA economies with good transportation and infrastructure.
5. Largest free market economy – Saudi Arabia is the largest free market economy in the Middle East and North Africa where this country holds 25% share of the total Arab GDP.
6. Strategic location – The strategic geographic location promises an easy access to export markets in Europe, Asia, and Africa.

On a final note, the investment environment in Saudi Arabia reflects the political and economic stability, world-class infrastructure , traditions of liberal, open market private enterprise policies and its Foreign Investment Law that allows 100 % foreign ownership of projects and real estate.

Abdulrhman
Managing Director