Institute of
Saudi Arabia
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The New Investment Law (Expected 2024/2025)

To close the FDI gap, the Ministry of Investment (MISA) is finalizing a comprehensive overhaul of the 2000 Foreign Investment Law. The core objective is "National Treatment"—treating foreign investors identically to domestic investors.

Expected Shifts

  • Abolishing the Foreign Investment License: Currently, foreign entities require a specific MISA license before registering with the Ministry of Commerce. The new law aims to streamline this, allowing direct commercial registration similar to local Saudi firms.
  • Equal Access to Incentives: Explicit legal guarantees that foreign entities can access domestic financing pools, subsidies, and real estate (outside of Mecca/Medina) on equal footing with Saudi nationals.
  • Dispute Resolution: Further strengthening the rights of investors to seek international arbitration, removing the jurisdiction from local administrative courts to boost confidence.

*Note: As of mid-2024, the final draft is still undergoing legislative review by the Shura Council. Implementation dates remain pending.*