Saudi Arabia’s Ministry of Commerce has published its quarterly bulletin for the business sector, focusing on the fourth quarter of 2024, which showcases notable growth and advancement in the Kingdom’s commercial environment.
The report indicates a 67 percent rise in new commercial registrations during the fourth quarter when compared to the same timeframe last year. Over 160,000 new registrations were recorded in the past three months, elevating the total number of active commercial registrations in the Kingdom to more than 1.6 million.
Growth in key sectors
The bulletin underscores growth in critical sectors aligned with Saudi Vision 2030, such as cloud computing services, app development, financial technology, tourism, entertainment, and talent development. E-commerce also experienced significant growth, with a 10 percent rise in commercial registrations compared to the same quarter last year, totaling 40,953 registrations.
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Trade sector performance in April 2024
In April 2024, the trade sector in Saudi Arabia saw a substantial uptick in commercial registrations, exceeding 1.45 million across all regions of the country. Official statistics from the Ministry of Commerce revealed a 59 percent increase in the first quarter of 2024, with 104,000 commercial registrations and 65,363 permits issued during the same period in 2023, as noted in the quarterly business sector bulletin. These registrations provide legal confirmation of a business’s official standing within the Kingdom. The regions of Riyadh, Makkah, and the Eastern Province led the way in the number of permits issued, accounting for 39,821, 19,811, and 15,236 entries, respectively, which collectively represented 71 percent of the total registrations in the Kingdom.
What does the rise in licenses indicate?
The rise in licenses signifies substantial progress in Saudi Arabia’s dynamic trade sectors, contributing to the evolution and enhancement of the business landscape while promoting diverse and unique partnerships each year. This trend also illustrates the Kingdom’s dedication to realizing Vision 2030 and advancing economic diversification, creating a favorable atmosphere for foreign investment. According to the bulletin, legal certificates issued to women comprised 44 percent of the total, while young Saudis constituted 38 percent of the overall commercial registrations for businesses in the Kingdom. By the end of the first quarter, women accounted for 43 percent of total registrations for establishments.
