Saudi Arabia will stop collaborating from 2024 with firms which do not have their headquarters in the Gulf country, Trade Arabia citing Saudi Press Agency (SPA).
An unidentified source told the agency that the decision aims to incentivize the localization of businesses by foreign companies that deal with the Kingdom’s government or any of its agencies, institutions and funds, in addition to creating more jobs, limit economic leakage, increase spending efficiency, and guarantee that the main goods and services purchased by the different government agencies are made in the Kingdom with appropriate local content.
The firms include agencies, institutions and funds owned by the government. The directive is in accordance with Riyadh 2030, the strategic goals of the kingdom’s capital, announced during recently held Future Investment Initiative forum.
24 companies during the forum announced their intent to move their regional headquarters to Riyadh, Trade Arabia notes. The kingdom is set to make public regulations related to the decision in the course of this year.
Saudi Arabia to cease collaboration from 2024 with entities with no HQ in kingdom
