Saudi Arabia Registers Jump in Foreign Direct Investment Inflows

Saudi Arabia Registers Jump in Foreign Direct Investment Inflows

Foreign direct investment flows recorded a growth of 46.5% during the second quarter of this year, compared to the same period of 2021, after excluding the Saudi Aramco deal amounting to 46.5 billion riyals ($12.4 billion).

Last year, Aramco forged a pipeline infrastructure deal worth 46.5 billion riyals ($12.4 billion) with an international consortium that acquired a 49% stake in the recently established crude oil supply company, under a 25-year sale and leaseback agreement.

According to a recent report issued by the Ministry of Investment, the investment licenses issued in the third quarter of this year amounted to around 928, representing an increase of 8.8% on an annual basis, with the exception of licenses issued under the campaign to combat commercial cover-up violations.

The report noted that foreign direct investment flows declined by 84.9% during the second quarter of 2022, on an annual basis, as a result of the increase in the volume of flows last year, because of the Saudi Aramco deal.

The report revealed a real GDP growth of 8.6% in the third quarter of 2022, on an annual basis, as a result of the remarkable rise in oil activities by 14.5%, and the increase in non-oil activities by 5.6%, while government