Key economic decisions in Saudi Arabia in 2025 to support individuals and businesses
In 2025, the Kingdom of Saudi Arabia witnessed extensive legislative and regulatory activity, culminating in the issuance of a package of pivotal economic regulations and decisions. These moves are part of the Kingdom's ongoing efforts to achieve the goals of Vision 2030, with relevant authorities focusing on enhancing the attractiveness of the business environment, increasing market efficiency, and easing the financial burden on individuals and investors. This reflects the Kingdom's commitment to sustainable economic growth and diversification of its sources.
A legislative revolution in the business and investment environment
In a move aimed at transforming the Kingdom into a global logistics and investment hub, the new investment system into effect in February 2025. This system marked a significant shift by replacing the concept of "licensing" with "registration," streamlining business procedures and providing a unified regulatory framework that ensures equality between local and foreign investors. Concurrently, the new commercial registration system in April 2025, eliminating branch registrations and establishing a single registration for each establishment nationwide. Annual renewal was replaced with an annual data verification mechanism, reducing bureaucracy and operational costs.
Decisive measures to control prices and protect consumers
In response to inflationary challenges, particularly in the capital city of Riyadh, which is witnessing increasing interest from international companies, a decision was issued to freeze residential and commercial rent increases in Riyadh for five years . This strategic decision aims to curb rental inflation and protect tenants' purchasing power. Transparency has also been enhanced through the updated commercial naming system and the mandatory registration of contracts on the "Ejar" platform to guarantee rights and prevent unauthorized increases, thereby strengthening confidence in the real estate sector.
Supporting individuals and promoting workers' rights
The decisions also addressed social and labor issues, strengthening the enforcement of employment contracts documented through the "Qiwa" platform. This means that workers can obtain their rights directly through enforcement courts without the need for lengthy litigation, thus improving the efficiency of the labor market. The decisions also included extending the Citizen Account program with additional support, offering residential land at reduced prices, and amending banking fees by a decision from the Saudi Central Bank to eliminate and reduce banking service fees, directly benefiting citizens and residents.
Stimulating industry and stabilizing energy markets
On the industrial and macroeconomic front, the financial levy on labor in licensed factories was abolished , a crucial step to reduce production costs and enhance the competitiveness of domestic products. Regarding oil policy, the Kingdom maintained its balanced approach by extending production cuts within the OPEC+ agreement to ensure the stability of global energy markets and generate the necessary revenue to finance major development projects.
