Saudi Arabia has made significant strides in entrepreneurship, ranking third in the Global Entrepreneurship Monitor for 2023-2024. The National Entrepreneurship Context Index score has risen from 5.0 in 2019 to 6.3 in 2023, showcasing progress in building a robust entrepreneurial ecosystem.
The country boasts a young and talented population, with 63% under 30, fostering a dynamic environment for emerging entrepreneurs. The government has focused on creating a supportive landscape for SMEs, investing in regulatory improvements and leveraging its strategic location to enhance the SMEs ecosystem.
The National Investment Strategy (NIS) is a key element of the Kingdom’s transformation plan, targeting an increase in private sector GDP contribution to 65% and boosting Foreign Direct Investment (FDI) to 5.7% by 2030. Special economic zones, such as King Abdullah Economic City (KAEC), feature prominently in Vision 2030, offering competitive incentives to attract investments.
Monsha’at, the Small and Medium Enterprises General Authority, plays a crucial role in advancing Saudi Arabia’s SME market. It supports local and international startups, aligning with Vision 2030 and NIS objectives. Monsha’at has facilitated over 380 national franchises and more than 1,000 trademarks, enhancing global market opportunities for Saudi businesses.
Global Engagement
Monsha’at has enabled Saudi startups to participate in international events, such as Franchise Expo Paris, ComeUp Korea, Web Summit in Portugal, and G20 Brazil. These efforts strengthen Saudi Arabia’s global business and diplomatic ties.
Framework for Success
To boost SME growth, Monsha’at has introduced incubators and accelerators in collaboration with private and government sectors, providing consultation, financial support, and expert networks. This initiative enhances the services available to entrepreneurs, fostering a sustainable business ecosystem.
Monsha’at continues to expand partnerships locally and internationally to promote entrepreneurship, aiming to position Saudi Arabia as a global hub for SME innovation.