RIYADH — Riyadh, the capital city of Saudi Arabia, has become the new regional headquarters for more than 200 international companies.

These firms have aligned with the upcoming policy that mandates international companies to relocate their headquarters to the Kingdom if they wish to secure government contracts post Jan. 1, 2024.

The policy, which aims to bolster Riyadh’s position as a global commercial hub, has already seen a significant influx of corporate migrations.

Companies across various sectors, including energy, technology, healthcare, and hospitality, have established their regional bases in Riyadh.

Notable among them are European giants such as Schneider Electric, ABB, Siemens, Philips, Schlumberger, and Egis Group.

From the United States, prominent firms like Northern Trust, Bechtel, White & Case, GE Healthcare, Pepsico, and Baker Hughes have made the move.

The UK is represented by IHG Hotels and Resorts, PwC, Deloitte, and Unilever, while major Chinese corporations like BGI, Nuctech, Dahua Technology, iMile Delivery, Huawei, and China Comservice have also joined the fray.

These relocations, primarily occurring between 2021 and 2023, have been spurred by attractive incentives offered by the Saudi government.

These include a 30-year exemption on corporate income tax and withholding tax related to headquarters activities, alongside exclusive discounts and comprehensive support services such as relocation, concierge, facilitation, and professional advice.

The strategic move is expected to significantly contribute to the Kingdom’s economic development, facilitating major projects such as NEOM, Expo 2030, and Qiddiya.

This initiative marks a pivotal shift in Riyadh’s global economic role, reinforcing Saudi Arabia’s vision to diversify its economy and reduce its dependence on oil.

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