Conditions for Foreign Investors in Saudi Arabia

The conditions for foreigners investing in Saudi Arabia depend on the route and the activity, and a prominent one is the minimum for a commercial activity with full foreign ownership: capital of at least SAR 30 million, together with a commitment to invest SAR 300 million or SAR 200 million with conditions, according to the Investor Guide of the Ministry of Investment (13th edition, 2026). The Guide also provides a route with a Saudi partner holding 25% and capital of about SAR 26.7 million. Below are the main minimums published in the Guide, with the limits of this list.

How much money is required to invest in Saudi Arabia?

There is no single amount. The Guide sets different minimums by type of activity. Examples are for commercial activity as the Guide calls it:

• 100% foreign ownership: capital of SAR 30 million, presence in at least 3 regional or global markets, a commitment to invest SAR 300 million over 5 years (of which SAR 30 million is cash capital), or SAR 200 million if one or more of the conditions on manufacturing, research and development or a logistics centre is met, and training 30% of Saudi employees annually.
• Saudi partner: Saudi participation of 25% and capital of about SAR 26.7 million (SAR 26,666,667).

What are the conditions for other activities and categories?

Also according to the Guide:

• Professional activities: a Saudi partner holding 25%, both partners licensed in the same field, and a non-professional partner holding no more than 30%.
• Engineering consultancy with full foreign ownership: presence in 4 countries and at least 10 years of experience.
• Communications: Saudi participation of 40% (supportive 30%).
• Legal activity with full foreign ownership: Ministry of Justice approval.
• Regional headquarters: a separate entity, 15 full-time employees within a year (of whom at least 3 at executive-director and vice-president level), and starting the mandatory activities within 6 months.
• Entrepreneurial establishments: a support letter from a Saudi university or an accredited business incubator.

Are these all the conditions?

No. This is a list of the special categories published in the Guide, not of all activities, and it should not be read as saying that other activities carry no conditions. For excluded activities, a list is issued by the competent authority and published by the Ministry. Registration with the Ministry before undertaking the investment applies on top of the above. The fees and duration of registration are outside the scope of this article.

Do these minimums apply to buying shares on the market?

These minimums are registration requirements for special categories in the Guide. The Investment Law exempts from the registration requirement investment in securities governed by the Capital Market Law. This article does not address the rules for trading shares.

What support tools are available to the investor?

The Investor Guide offers three tools. The Miza programme gives access to private-sector service providers through 12 service portfolios, from financial, accounting, legal and tax services to market analysis, human resources and real estate, with no fee for access to the programme and a processing time of 5 working days. The Strategic Investor programme offers a service package to companies that meet criteria set by the Guide, including size and economic impact, with a processing time of 10 working days. The investor matching service links the private sector to investment opportunities.

How should an investor choose a route?

Among the first questions: is the activity among the excluded activities, and will the project contract with government entities? Companies that contract with the Saudi government have been required to establish a regional headquarters since 2024, according to the US Department of State, which attributes the requirement to the Ministry of Investment and the Royal Commission for Riyadh City. The decision starts with the question of route and minimum commitment before the question of sector, because a fully foreign-owned route differs from a route with a local partner in ownership structure and accompanying commitments, not in capital alone: the gap between the two capital minimums is only about SAR 3.3 million. Our full study, "How to Invest in Saudi Arabia: New Law and Capital Flows", published at the end of this month, sets out eight sequential questions for choosing a route and a matrix by investor profile.

Zeej works with investors on choosing the route and sizing the commitment, within our «New Market Entry and Expansion» service.