Riyadh — The Saudi Arabian government has announced a substantial tax relief program, targeted at multinational corporations establishing regional headquarters within the kingdom.
This marks the beginning of a new chapter for the world’s largest crude oil exporter as it transitions into a dynamic business hub.
This transformative strategy, promising a 30-year tax holiday including a zero-percent rate for corporate income and withholding taxes, is part of Saudi Arabia’s vision to diversify its economy and reduce its reliance on oil exports. This announcement comes just before a critical deadline, hinting at the urgency and significance of this strategic shift.
The Regional Headquarters (RHQ) program has already seen a surge in investments, especially in the burgeoning Software & IT services sector. With over $242.5 million invested in 2023 alone, the program is reshaping the country’s economic narrative.
Finance Minister Mohammed al-Jadaan underscores the significance of this initiative, heralding it as a cornerstone for future business expansion in the region.
However, this is just the tip of the iceberg. Our comprehensive report delves deeper into the intricate details of this initiative. From the investment boom sparked by the RHQ program to the wide array of incentives offered to corporations, the report provides an exhaustive analysis of Saudi Arabia’s strategic pivot.
Understand the implications of the Saudi mandate, which requires international companies to establish regional headquarters in the Kingdom by 2024 to qualify for government contracts.
This policy is not just about business expansion; it’s a critical component of Saudi Arabia’s Vision 2030, aimed at generating private-sector employment and diversifying the economy. Our report also highlights the rush for RHQ licenses, reflecting the eagerness of companies to capitalize on this golden opportunity.
Discover what lies behind the significant investment in headquarters and the sectors leading this transformation. For full report, click here