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ARTICLE · 25 APRIL 2025

FDI Review In Saudi Arabia. Is Coming?

On 11 August 2025, the Saudi legislator issued the Saudi Investment Law, which includes language that may introduce a more comprehensive FDI review in Saudi Arabia.

Saudi ArabiaGovernment, Public Sector

On 11 August 2025, the Saudi legislator issued the Saudi Investment Law, which includes language that may introduce a more comprehensive FDI review in Saudi Arabia.

On 11 August 2025, the Saudi legislator issued the Saudi Investment Law, which includes language that may introduce a more comprehensive FDI review in Saudi Arabia. The Investment Law entered into force on 7 February 2025 and replaces Royal Decree M1/1421H on Foreign Investment in the Kingdom of Saudi Arabia. The old Foreign Investment Law took a more approach to traditional FDI regulation. It relied predominantly on providing incentives for foreign investment in some sectors and restricting or prohibiting engagement of foreign investors in others to steer FDI. The new Investment Law includes language that could be the basis for FDI screening like those for example in the US or Europe being implemented in Saudi Arabia. Supplementary instruments that enable and regulate such a review process are still

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