Welcome to The Executive Brief, AEI’s newsletter offering key updates for those exploring expansion opportunities in Saudi Arabia.
Welcome to the first edition of 2025! Thank you for your support in 2024. AEI is excited to share the latest updates as Saudi Arabia’s Vision2030 transformation surpasses expectations.
Saudi conference season in full flow
There has been no letup in the business calendar since we entered 2025.
The year has begun with the Future Minerals Forum in Riyadh. Here, we heard the announcement of a joint venture between Aramco and the Saudi mining company Ma’aden to explore transition minerals across the Kingdom.
The joint venture could go a long way to helping the Kingdom meet its forecasted demand for lithium, which is expected to grow twenty-fold between 2024 and 2030. ?That energy will be needed for an estimated 500,000 electric vehicle batteries and 110 gigawatts of renewables, making the energy and renewables sector as a whole incredibly attractive to foreign investors and partners.
Next month, AEI will attend two important conferences: LEAP and Deep Fest, 9th – 12th February, and the Public Investment Fund Private Sector Forum, 12th – 13th Feb. At LEAP, visitors will be networking and learning at what’s billed as the world's most-attended Tech event, designed to foster business connections and investment opportunities across multiple sectors.
Similarly, the PIF Private Sector Forum is a bridge between PIF, its portfolio companies, and the private sector in Saudi Arabia. The forum’s objectives include promoting and strengthening localization and supporting the development of stable supply chains in key sectors.
Important updates to the Qualification Verification Programme (QVP)
The Qualification Verification Program (QVP) verifies expatriates' academic qualifications for Visa applications. It's been running for almost 18 months. Moving forward, however, there are two significant changes to the programme – both of which have implications for businesses considering entering the Kingdom.
First, the QVP now applies to all industry sectors. Previously, it was restricted to aviation, construction, media, tourism and health.
Second, the range of countries affected by the QVP has expanded – and this means there are many countries for whom processes will be extended by 15 days and cost SAR 350.
To date, there is no officially released government list, but authorities will now ask applicants from previously unaffected countries to provide a Professional Accreditation Certificate. Historically, this requirement was only required for nationals from countries that did not have a Saudi Cultural Attaché. For reference, the QVP list now includes Australia, Belgium, Brazil, Canada, Chile, China, Denmark, Germany, Malaysia, the Netherlands, New Zealand, Norway, Poland, Qatar, Sri Lanka, Switzerland, the United Kingdom, the United States, and Zambia.
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The residential property boom in Riyadh continues
International investors are really homing in on the real estate market in KSA. London’s Financial Times quoted Saudi’s Housing Minister Majed bin Abdullah Al-Hogail as saying that soaring property prices in Riyadh have become a “concern” for the government. The article went on to report that according to Knight Frank researchers, in the nation’s capital, by contrast to 2020, houses and apartments are higher in price by 81% and 56% respectively.[1]
The surge in property prices is attributed to heightened demand for housing units as the Vision2030 programme continues at pace, with the government redeveloping areas, increasing land value and a growing middle class with income to invest. The increase in property and land prices has had a knock-on effect on the residential market for rentals, where increases can range from anywhere between 5% to 30% across all segments, squeezing out some locals and forcing some expats to reassess their existing leases or housing position.
At AEI, we're helping clients get the all-important Premium Residency status that enables them to purchase and reside in their Saudi property. Likewise, we’re advising clients on finding the best rented accommodation to meet their needs.
AEI invited to participate in two important government round table sessions
AEI were thrilled to be invited to participate in two important roundtables recently. In both cases, it was a privilege to contribute news and insights from more than 13 years of experience in Saudi.
At the event organised by the Ministry of Investment in collaboration with The World Bank, the subjects included assessing barriers to entry, identifying regulatory challenges, and understanding the specific needs of foreign investors, particularly small and medium-sized enterprises, in the Saudi investment environment.
Next was an event with the UK's Department of Business and Trade to discuss with the Global Head of Export Support Services and the International Markets team visiting Saudi Arabia how best to connect UK small-to-medium businesses to the opportunities in this vital market.
In both cases, AEI provided tactical and practical feedback, which was warmly welcomed – it was an absolute pleasure to share so many insights on achieving positive outcomes for international investors. ??
Trust AEI, the experts in Saudi Success. AEI Saudi is a consulting and support services business. We help foreign companies to start a business in Saudi, enter the Kingdom, establish a business, and help employees to succeed for the long term.
[1] FT January 19 2025.