Saudi Arabia issues 348 foreign investment licenses in Q1 2020

Saudi Arabia's Ministry of Investment issued 348 foreign investment licenses in Q1 2020, up by 19% year-on-year, the ministry said in a report.

Saudi Arabia reported an investment slowdown over the previous period due to the impact of the COVID-19 outbreak on the global economy.

"The economic sustainability and business continuity represented our top priorities amid the Kingdom's precautionary measures to curb the COVID-19 outbreak," stated Saudi Minister of Investment, Khalid Al-Falih.

The ministry contacted 7,000 local and foreign investors to mitigate the negative impact of the COVID-19 on their businesses, he added.

In Q1 2020, foreign investments at 100% ownership accounted for around 73% of the issued licenses, while 27% went for joint ventures with local investors.

The Saudi emerging sectors received around 125 licenses, up by 57% quarter-on-quarter (QoQ) in Q1 2020, the manufacturing segment received 69 licenses while telecom and IT secured around 46 licenses.

India dominated the highest number of the foreign investment licenses issued in Saudi Arabia in Q1 2020 at around 41 investments, followed by US at 37 investments, Lebanon at 33 investments and UK (32 investments).