In the Kingdom of Saudi Arabia, the business landscape has experienced a dramatic increase in commercial registrations, with figures reaching 104,000 in the first quarter of 2024. This represents a 59 percent surge compared to the prior year, as per the latest governmental figures.
Previously, the first quarter of 2023 saw the Ministry of Commerce issue 65,363 permits. The significant growth in new business permits has pushed the total number of such registrations to exceed 1.45 million nationwide.
Commercial registrations are essential, serving as legal proof of a business’s formal establishment within the Kingdom. Regions leading in the number of permits issued include Riyadh, Makkah, and the Eastern Province, which collectively account for 71 percent of the total permits issued in the country.
The increase in business licenses is a clear indicator of the positive momentum within Saudi Arabia’s trade sectors, which play a pivotal role in the business ecosystem, facilitating unique and growing partnerships each year.
This upswing is also a testament to Saudi Arabia’s dedication to its Vision 2030 goals and its efforts towards economic diversification, creating a welcoming landscape for foreign investors.
The data revealed that women represented 44 percent of the total legal certificates issued. Furthermore, young Saudis made up 38 percent of the total commercial registrations for establishments, with women’s share reaching 43 percent by the end of the first quarter.
The report shed light on the sectors identified as promising in the Vision 2030 framework, particularly the technological sphere, where there has been growth in areas like app development, electronic gaming, and electronic platform delivery services.
It also emphasized the evolution of sectors such as entertainment, tourism, and business incubation and acceleration, which present myriad opportunities for both domestic and international enterprises to forge and extend partnerships.
Significantly, the bulletin underscored the expansion of e-commerce registrations, which stood at 38,850, marking an increase of 17.4 percent from the first quarter of 2023. The ministry highlighted the role of e-commerce in bolstering the national economy and recognized the Kingdom as one of the top 10 nations witnessing e-commerce growth.
The ministry’s statement concluded by affirming the enhancement of the e-commerce ecosystem as a key objective of the National Transformation Program, aligning with the broader goals of Vision 2030 due to the critical impact of e-commerce on the economic prosperity of the nation.