Overview:
Saudi Arabia's foreign direct investment surged to 159 billion riyal in 2025, marking a 33.5% increase year-on-year and pushing the cumulative FDI stock past one trillion riyal. The expansion reflects strengthened investor confidence amid Vision 2030 reforms, while the real estate sector continues mobilizing undeveloped land through white-land fee mechanisms, supporting parallel housing and infrastructure projects across the kingdom.
Details:
The kingdom's FDI stock rose 8.3% to reach 1.059 trillion riyal by end-2025, exceeding the one-trillion-riyal threshold. This advance builds on a sustained upward trajectory: FDI inflows have grown more than fivefold compared to 2017 levels, signaling deepening integration of foreign capital into the Saudi economy.
Real estate development proceeded concurrently. Reportage Saudi advanced 1.1 billion riyal in residential investments across Riyadh, focusing on Nadd 6 and Nadd 7 projects in Al-Arid district. Separately, white-land regulatory frameworks evolved: the Ministry of Municipalities and Housing approved procedures governing property transactions on white-land fee-subject plots, requiring verification of fee payment before title transfer documentation to strengthen compliance and sustain development continuity.
The Ministry of Industry conducted 1,522 field inspections of industrial facilities in September, reinforcing manufacturing compliance standards. The Ministry of Communications opened enrollment for the second cycle of the MCIT AI Bridge program, in partnership with Accenture, targeting professionals with three to five years' experience for intensive technical training in Riyadh and Milan.
Outlook:
Investors are monitoring whether execution speed and infrastructure readiness can sustain the investment acceleration, particularly as 71 million square meters of Riyadh white land enters market circulation. Foreign investors filed 1,275 new enterprises in October—96.5% wholly foreign-owned—signaling sustained appetite for Saudi market entry.