The Shoura Council will discuss on Monday proposals to change certain articles of the Foreign Investment Law in order to woo foreign direct investment to the Kingdom and make Saudi Arabia more investment-friendly. “The proposals to change the law were presented by Abdullah Bukhari, Mohammed Al-Quwaihes and Salim Almarry,” read an official statement issued on Saturday. Foreign investors have welcomed the consultative body’s move and have demanded greater incentives. “The Saudi Arabian General Investment Authority has outsourced the work to license investment projects. This has created some problems, most notably qualified international companies not receiving licenses,” said Siddeek Ahmed, CMD of Eram Group. He called upon SAGIA to open more offices to meet investors’ needs. “Foreign investors should be treated like Saudi investors and should be given an adequate number of recruitment visas and bank financing facilities,” Ahmed said. Foreign investors pay 20 percent of profit as corporate tax, while Saudis pay only 2.5 percent, he pointed out. Ahmed also proposed a 49-51 investment scheme for SMEs that would encourage more foreigners to invest in the sector legally in order to curtail shadow businesses.
Making KSA More Investment Friendly
The Shoura Council will discuss on Monday proposals to change certain articles of the Foreign Investment Law in order to woo foreign direct investment to the Kingdom and make Saudi Arabia more investment-friendly. “The proposals to change the law were presented by Abdullah Bukhari, Mohammed Al-Quwaihes and Salim Almarry,” read an official statement issued on Saturday. Foreign investors have welcomed the consultative body’s move and have demanded greater incentives. “The Saudi Arabian General Investment Authority has outsourced the work to license investment projects. This has created some problems, most notably qualified international companies not receiving licenses,” said Siddeek Ahmed, CMD of Eram Group. He called upon SAGIA to open more offices to meet investors’ needs. “Foreign investors should be treated like Saudi investors and should be given an adequate number of recruitment visas and bank financing facilities,” Ahmed said. Foreign investors pay 20 percent of profit as corporate tax, while Saudis pay only 2.5 percent, he pointed out. Ahmed also proposed a 49-51 investment scheme for SMEs that would encourage more foreigners to invest in the sector legally in order to curtail shadow businesses.