Saudi Arabia is one of the richest and developed countries in the entire world. The county also ranks among the 25 largest economies in the world along with being the largest economy in the Middle East and North Africa Region. Moreover, it is one of the fastest growing countries in the world with the per-capita income projection of USD $33,500 by the year 2020.
Apart from being a developed economy, Saudi Arabia also enjoys cost advantage owing to the low domestic cost of energy and industrial land in the region. The Saudi government also plays a significant role in encouraging private investors and other GCC and MENA economies to invest in the kingdom by offering subsidies, incentives and duty-free access. All the above factors make Saudi Arabia an attractive place to do business.
Although the primary source of revenue for the oil-rich country is generated from the oil production sector and its sub-sectors but with the Vision 2030, times are changing and there is a significant shift from oil production sector to the investment in the other business sectors. Now there are huge opportunities for investors in many other sectors.
If you are interested in investing in Saudi Arabia and are looking for the best business ideas to start, we can help you out. We have curated a list of 7 most profitable business ideas and opportunities in Saudi Arabia. You can get inspiration from these money-spinning businesses ideas and dip your feet in.
Business Investment Opportunities in Saudi Arabia
- Financial Services
The banking sector in Saudi Arabia is very stable and has not experienced much turmoil even at the time when there was a global financial crisis. Moreover, the Saudi Stock Exchange (Tadawul), which is presently the largest in the Gulf region is actively looking for foreign participation. It is eyeing to develop the derivatives market and start up a future market to sell the products other than just oil.
- Professional Services
There is a constant demand for professional services in Saudi Arabia in the field of finance, engineering, medical, nursing, etc. The competition in the market is low because of the shortage of competent professionals from the domestic market, which makes it a good sector to enter into.
- Agriculture Business
The soil and climate of Saudi Arabia does not support the cultivation of majority of crops and therefore most of the agricultural produce that is consumed in the country is imported from neighbouring countries. However, few crops like date palms, wheat, barley, etc. survive in spite of these harsh climatic conditions and can be cultivated indigenously. There is a lot of demand for these crops and hence there is immense scope in doing agriculture business of either cultivation or import.
- Healthcare Business
Healthcare is a flourishing sector in Saudi Arabia owing to the government support and funding. Moreover, the country has one of the largest markets for medical equipment and healthcare products in the entire Middle East. Seeing the huge opportunity, you can invest in the healthcare sector.
- Solar Energy
The extreme hot climate of the country compliments the production of solar energy. In order to reduce fuel pollution, the government is also encouraging investment in the solar power creation as an alternative source of power. It makes for a great business opportunity and you can invest in the production and sales of solar panels, solar installations, etc.
- Water and Wastewater
Water is a scarce resource in Saudi Arabia due to the hot climatic conditions. Moreover, the country uses a lot of energy to generate water which in turn creates a carbon impact and is not good. This leads to a growing demand for new sources of water and finding ways to efficiently use water. You can take the advantage of this opportunity and start a business related to the water and wastewater sector.
- Education
The country spends a lot on the education sector. The Saudi government takes active participation in educating young Saudis by building new educational institutes and funding overseas degrees and training programmes. The government is, therefore, encouraging foreign investment in education to meet the growing demands.
The above mentioned are few of the profitable and booming business ideas in Saudi Arabia. Apart from the above, you can also start a business in construction, mining, Information Technology, security and defence sector.
The process for company registration in Saudi Arabia is very simple and hassle-free. You can get in touch with IMC Group for any help related to starting up a business in Saudi Arabia.
