The Saudi Momentum: Investment, and Global Reach

Saudi Arabia is now one of the fastest-growing G20 economies, with GDP ranging $1.2 trillion in 2024. Over the years foreign investors in general and “the west” in particular have been hesitant to invest in Saudi. Most of it for lack of understanding of the region, however they have now seen the transformation and are benefiting from liberalized sectors, streamlined regulations, and sovereign-backed initiatives like the National Investment Strategy. Everybody is aware of the Vision 2030, that it has catalyzed reforms across governance, defence, technology, workforce, infrastructure, healthcare, investments and capital markets to name a few. The Kingdom is offering unmatched scale, strategic geography, and a young, tech-savvy population that is eager to make a difference.

Definitely evolving, over the years it has changed to be honest. We focused at the conference on three main areas of Vision 2030.

HEALTHCARE

Saudi Arabia is going through a critical stage of healthcare system modernization. With the increasing population from 23m in 2000, 31m in 2016 to close to 37m in 2025 plus the floating population of tourists, pilgrims and of course consultants, Saudi had to do something about healthcare.

Average life expectancy has risen to 78.8 years in 2024 (from 72.6 in 2000), and chronic and lifestyle-related diseases such as diabetes, hypertension, and cardiovascular conditions continue to rise, adding to the sector's burden. 

The Kingdom is investing massively in hospitals and healthcare facilities, technology and human capital to cope with increasing healthcare services demand. The target of this reform is to set up a sustainable model that will be balanced between private and public, affordable and luxurious services. The strategy should allow private participation but still be accessible to everyone. Vision 2030’s focus has moved to a model of care with patient centric focus and an increased investment to improve national labour, at doctor level, and reduce reliance on foreign labor as well as standardising practices and processes to improve quality and accountability across facilities.

Top healthcare improvements and investments announced include:

1. PPP: Hospital privatization, increased capacity and workforce training: Transition of ~290 hospitals and 2,300 health institutions to private operations to boost efficiency and capital inflows. There is also a need to build new hospitals and health institutions to access remote as well as in urban areas to cover increasing population and upgrade existing facilities. All this requires significant investment which the government is looking at the private sector, both local and international stakeholders to partner in the HC journey.

Capacity expansion: Continued increase in total hospitals and beds per 10,000; 499 hospitals reported in 2023, with multi‑year pipeline to 2030.

2. Digital health scale‑up: >$1.5B invested in telemedicine, AI diagnostics, and nationwide EHR (Electronic Health Record). This is a significant investment for patients to have a unique personal medical number, digitised records accessible across the Kingdom. This project was financed by PIF after a royal decree. This is modernising the facilities, using technology wisely to become more efficient which also requires investment in systems, workforce training, etc.

3. Clinical labs and diagnostics growth: Lab market projected to reach ~$23.4B by 2027, strengthening testing and precision care global health. Currently non-routine lab tests are sent to Europe and in complex diagnostics, to the US. Expanding and upgrading facilities will improve healthcare experience. There is also a significant investment in technology in the diagnostic space with early diagnostic and e-communication of lab results, etc. 

Saudi has launched the National Biotechnology Strategy with a plan to localise pharma and biomanufacturing, which focuses in expanding its vaccine and biologics manufacturing capacity inside KSA through PPP and foreign investment. 

Saudi has launched the Saudi Genome Program to build a Genomics and precision medicine, and also there is significant reliance in Universities and Academic-clinical innovation hubs that invest in R&D programs and promote innovation through incubators as we saw a couple of weeks ago in an event with VC-backed companies

Institutions such as King Abudllah International medical Research center (KAIMRC), KAUST, KSU centers and tech parks enabling translational research and startups.

INVESTMENT 

Saudi Arabia has made significant reforms to attract FDI, including a new investment law (2025) that guarantees equal treatment for foreign investors, replaces licensing with simple registration, allows 100% foreign ownership, streamlines visas, and expands support through Invest Saudi and Startup Invest programs. Key reforms as of November 2025 include:

1. Capital Markets liberalization: Saudi Arabia has aligned its capital markets with global standards, easing foreign investor access and strengthening transparency. The Tadawul exchange now allows greater foreign participation, including Qualified Foreign Investor (QFI) programs and broader sector openings. There is a ceiling for foreign ownership to 49% in listed companies, there are already consultations about increasing the percentage (note: it was subsenquetly amended in Feb 2026).

Investor protections: The new law provides safeguards against expropriation and ensures fair compensation, boosting investor confidence.

2. Licensing & Registration - companies: some of the key improvements include:

Licensing abolished: The 2025 Investment Law eliminated the old foreign investment license (MISA/SAGIA), replacing it with a streamlined registration system managed by one-stop service centers by providing 1 year of audited FS and other documentation to existing companies.

Simplified processes: Registration is faster, digitalized, and designed to reduce bureaucracy, making market entry easier for foreign firms.

3. Visas & Talent Attraction - individuals:

• Investor visas: Saudi Arabia introduced flexible visa schemes for entrepreneurs, investors, and skilled professionals, supporting relocation and long-term business presence.

• Regional HQ program: Incentives encourage multinationals to establish headquarters in Riyadh, with preferential access to government contracts

• Invest in local talent and boost the economy ⇒ More housing, new schools and universities for non-saudi students, new healthcare facilities

4. Foreign Ownership: promoting foreign ownership has been an important goal for the government, this includes granting 100% foreign ownership rights to foreign investors so they can now own companies outright in most sectors, including ICT, manufacturing, and services. This is also being extended to owning real estate, with certain conditions.

SEMICONDUCTORS & MINING

The last topic I selected for that conference was Mining and Semiconductors. Semiconductors is more glowy, but mining has been the gloomy brother in the economy, however things are changing as focus turns to Earth Mineral, Critical Minerals, etc and with AI being in the center of every conversation. We saw the announcements at LEAP 2025 by the Ministry of Communication about partnerships with Microsoft, AWS, Oracle, Google and of course STC cloud. Those data centers need strategic minerals to operate and that is where Saudi Arabia made Minerals and Metals a strategic pillar.

The sector is being modernised with strong use of technology and AI to achieve is fast growth and is supported by ESNAD who is advising companies during the licensing process for exploration and extraction, Manara, the JV between PIF and MA’ADEN is the international investment arm to secure mineral and metal supply chain in the Kingdom. The Ministry strategy is also to promote the industrial and manufacturing aspects of the supply chain which succesfully does through the INDUSTRIAL CENTER.

At the Future of Mineral Forum in January 2026, it was very evident how interesting and strategic this sector is becoming. See my post about Multi-metal refinery plants being built in Saudi Arabia to continue with the supply chain strategic protection and guarantee.

Final Note

As the Saudi ambassador to the US, HE Princess Remma said in an interview with CNN in October 2022, “this Kingdom is not the Kingdom it was 5 years ago, is not the Kingdom it was 10 years ago. Every piece of analysis that existed, is no longer relevant”

She was then talking about the relationship between SAUDI ARABIA and the US, but this is relevant across the transformation journey the KINGDOM is going through.