Under Vision 2030, private companies play a central role in driving the economy of Saudi Arabia forward. Significant progress has already been made.

Private Sector Contribution to Saudi Arabia’s GDP (2016-2030), %

Pursuing the goal of the private sector accounting for 65% of GDP, with small and medium-sized enterprises (SMEs) share reaching 35% of the national output, the Kingdom intends to unlock SAR5 trillion ($1.3 trillion) in domestic investments. The money will go to support projects across four key sectors: Business & Economy, Dynamic Society, Tourism & Heritage, Environment & Nature, thus allowing to diversify industries, promote innovation and create over 64 000 local jobs by 2040.

The target had already been exceeded in 2024, when 437,000 Saudis were hired under a Saudi government national employment scheme. Shortly afterwards, more than 294 000 Saudis joined the private sector as well, supported by a $1.5 billion investment from the Human Resources Development Fund (HADAF).

More than 120 000 commercial registrations issued by the Saudi Ministry of Commerce in the second quarter of 2024 is another accomplishment. With such indicators business registrations see 78% annual growth as the KSA’s private sector booms.

Despite the success in meeting interim targets under Vision 2030, further initiatives will require much effort. For example, other roadmaps for the national strategy include attracting $100 billion in annual foreign direct investment (FDI) by 2030 in a bid to boost the private sector in the long run. To achieve ambitious goals, numerous programs, funds and forums fostering a supportive business environment were established, granting multiple opportunities for private companies to contribute to promising industries, hence most worth attention.

To encourage firms to engage with the Public Investment Fund (PIF) (the nation's sovereign wealth fund) and its portfolio companies, Private Sector Initiatives were designed.

1. MUSAHAMA Program enables the private sector’s growth through the Supplier Development Program, investments in talent and technology, fostering innovation and supply chain localization. The local content aspirations PIF adheres to are based on four strategic pillars:

2. Accelerated Manufacturing Program is a targeted initiative introduced to empower emerging manufactures to develop competitive, innovative products and services and grow their businesses in the Kingdom so that a thriving ecosystem within the country could be cultivated.

3. Contractor Programs
By launching the Contractor program PIF endeavours to facilitate the registration process for its development companies’ projects, extend funding and enhance capacity and capability across the sector to boot. The three enablers in these programs are:

4. Other Programs offered by PIF and its Portfolio Companies address the SME growth, falling into the following three categories:

Every year the increasing number of conferences, debate platforms, seminars and open courses is launched for residents of the Kingdom to discover and present ingenious solutions to the challenges the national economy faces. Saudi Arabia Meetings, Incentives, Conferences and Exhibitions (MICE) market was valued at approximately $2,6 billion in 2024, when more than 130 events were held in 19 different sectors, and is expected to double by 2030. As for 2025, 19 significant events have recently been verified, therefore highlighting KSA’s proactive approach to becoming a worldwide center for MICE industry events.

Forums hold a major significance among key national players.

A total of 9000 attendees participated in the second edition of the Private Sector Forum, held on February 6-7th, 2024. Acting as a bridge between PIF, its portfolio companies and the private sector, the event promotes and strengthens localization and supports the development of stable supply chains in key sectors. The next one – the Private Sector Forum 2025 – will take place on February 12-13, promising to showcase business opportunities, signal areas of potential growth for investors and suppliers and maximize the windows of cooperation.

The Real Estate Future Forum has just finished in Riyadh. Running from January 27 to 29, 2025, it gathered together industry leaders, policymakers and investors to highlight Saudi Arabia’s ongoing focus on property development, investment strategies and tourism expansion.

From September 8-10, 2025 the Kingdom will also host the Global Future Projects Forum which serves as a global platform that brings together contractors and stakeholders with more than 37 project owners from both the public and private sectors. 3000+ attendees will explore details of upcoming programs and plans of various sizes, get acquainted with the requirements and learn about the application processes.

Vision 2030 is creating favourable conditions for private businesses to expand and diversify in alignment with Saudi Arabia’s long-term strategic ambitions. Oxford Business Group uses the example of Al Othaim Investment to illustrate how a long-standing company with a strong reputation in its core sector can capitalize on the opportunities presented by the national vision to develop new avenues of corporate growth.

Although it is your choice only whether to break new ground, as long as the private sector’s role tops the agenda, the opportunities are nearly endless. However, while enjoying this fertile environment, various bureaucratic and cultural challenges should not be underestimated. Taking into consideration these specific intricacies and performing due diligence will not be superfluous.