Saudi Arabia extends waiver on expatriate fees in industrial sector

Saudi Arabia has decided to continue covering the fees for expatriate workers in the industrial sector until December 31, 2025, as part of its broader economic reforms under Vision 2030. This decision, made during a recent meeting of the Saudi Cabinet in Jeddah, reflects the government's ongoing efforts to stimulate growth, attract investment, and increase employment opportunities for Saudi nationals in the industrial sector.

Originally introduced in 2019, the fee waiver was part of a five-year policy aimed at easing the financial burden on industrial firms and encouraging them to hire more Saudi nationals. The Ministry of Industry and Mineral Resources, led by Minister Bandar Alkhorayef, has highlighted the significant impact of this policy on the sector. Since the implementation of the waiver, the number of industrial establishments in the Kingdom has grown from 8,822 in 2019 to 11,868 by April 2024, marking a notable 35% increase. Additionally, investments in the industrial sector surged by 55%, from SR992 billion in 2019 to over SR1.54 trillion by the end of 2023.

The extension of the fee waiver is expected to further bolster the industrial sector, creating more job opportunities for Saudi citizens and strengthening non-oil exports. Minister Alkhorayef praised the leadership of King Salman and Crown Prince Mohammed bin Salman for their unwavering support in driving the sector's growth. He also emphasized that the continuation of this policy would play a crucial role in achieving the objectives of Vision 2030, which seeks to diversify the economy and reduce its dependence on oil.

This latest decision underscores Saudi Arabia's commitment to fostering a competitive industrial environment, attracting foreign investments, and enhancing the overall business landscape in the Kingdom. As the country moves forward with its ambitious economic plans, the industrial sector remains a key focus area, with ongoing support from the government to ensure sustained growth and development.
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