Saudi Arabia has offered companies a package of incentives, including tax breaks, to get them to relocate to the kingdom under a plan dubbed ‘Project HQ’, which is also designed to move the center. Gulf business far from Dubai.
As of January 1, 2024, the government as well as state-owned agencies, institutes and funds will no longer contract with companies or commercial institutions unless they have a regional center in Saudi Arabia, according to the report. a statement from the Saudi News Agency attributed to an official source. The move aims to encourage foreign companies to hire more Saudi nationals and limit “economic leakage”, according to the SPA report.
Dubai, United Arab Emirates, has firmly established itself as the regional trading center for everything from banking to transportation and logistics. As part of attempts to open up and diversify its economy, Saudi Arabia has, however, offered companies a set of incentives, including tax breaks, as part of a plan dubbed “Project HQ”.
A group of 24 international companies, including Deloitte, PwC, Bechtel and PepsiCo, said they were moving their regional headquarters to the kingdom at an annual investment conference hosted by Saudi Arabia’s sovereign wealth fund last month .