Saudi Arabia’s Vision 2030, launched in 2016, is more than just a policy framework—it’s a bold blueprint for economic and social transformation. For business leaders and executives eyeing opportunities in the Kingdom, understanding this ambitious plan is critical to navigating the evolving Saudi economy. With the non-oil sector now driving over half of GDP, women’s workforce participation surging, and massive investments reshaping industries, Vision 2030 offers a wealth of possibilities for market entry and growth. Peninsula, a specialist in company formation and tax advice with 15 years of experience in the UAE and Saudi Arabia, is uniquely positioned to guide businesses through this dynamic landscape. Here’s how Vision 2030 is reshaping the Kingdom and what it means for your business setup.
At its core, Vision 2030 aims to reduce Saudi Arabia’s historic reliance on oil, a shift that’s already yielding results. The non-oil economy now accounts for 52 percent of GDP, with projections to reach 65 percent by 2030. This diversification spans manufacturing, construction, tourism, technology, and logistics—sectors ripe for investment and expansion. The Kingdom has committed over $5 trillion to more than 5,000 projects, including the futuristic NEOM city, signaling a clear intent to build a modern, resilient economy.
For executives, this translates into tangible opportunities. Take tourism, which now contributes 10.4 percent to GDP and is growing at 10 percent annually. Hospitality giants like Best Western, a client of Peninsula, have tapped into this boom through strategic company formation. Whether you’re in retail, logistics, or clean tech, Vision 2030’s focus on non-oil growth creates a fertile ground for business setup, supported by Peninsula’s expertise in navigating local regulations and partnerships.
One of Vision 2030’s standout achievements is its investment in human capital. The Kingdom has prioritized upskilling its workforce, with initiatives like hospitality academies and partnerships with global training institutions. The proportion of Saudis in high-skilled jobs has risen from 32 percent in 2016 to over 40 percent today, bolstered by efforts like the $300 million Saudi Education Fund. Small businesses, too, benefit from programs like the SME Development Bank, which ease access to funding.
A key social transformation has been women’s empowerment. Since 2017, female labor participation has more than doubled, climbing from 17.4 percent to 36.2 percent by late 2024. Women now hold 43 percent of middle and senior management roles, a shift that’s broadening the talent pool. For business leaders, this means access to a diverse, skilled workforce—a critical factor when planning market entry or expansion. Peninsula’s deep understanding of local labor laws ensures your company formation aligns with these evolving dynamics.
Vision 2030 is fueling an infrastructure revolution, with over $800 billion earmarked for development. This includes $170 billion for mining and metals, and $150 billion for logistics and transportation. Mega-projects like NEOM and a $147 billion push for digital transformation are setting the stage for innovation. Meanwhile, $235 billion is allocated to clean energy, including the world’s largest green hydrogen facility.
These investments aren’t just numbers—they’re opportunities. For instance, the $870 billion in mega-projects offers a pipeline for construction, real estate, and tech firms. Peninsula has helped multinationals like Amazon structure their presence in Saudi Arabia, leveraging regulatory knowledge to streamline business setup. As the Kingdom aims for fixed capital formation to hit 30 percent of GDP, executives can rely on Peninsula to position their companies at the heart of this growth.
Tourism and real estate stand out as Vision 2030 success stories. Non-oil exports hit $136 billion in 2024, with private sector investments reaching SR1.18 trillion ($480 billion). The hospitality sector is thriving, supported by new residency programs attracting global talent. JLL’s 2025 Middle East and Africa Market Review highlights Saudi Arabia’s real estate market as a hotspot, driven by strategic diversification and ambitious tourism goals. Riyadh and Jeddah, in particular, offer prime opportunities.
Saudi Arabia’s fiscal reforms are another pillar of Vision 2030. Non-oil revenue has doubled in four years, thanks to measures like VAT and regulatory compliance. The Kingdom’s credit rating now matches Japan’s, reflecting confidence in its economic stability. Government revenue diversification has eased pressure on oil dependency, with the non-oil sector projected to grow 5.8 percent in 2025, up from 4.5 percent in 2024, per JLL’s outlook.
This fiscal discipline matters for executives planning company formation. A stable economy reduces risk, while tax policies create a predictable environment for investment. Peninsula’s tax advice, rooted in practical business acumen, helps companies optimize their structures in this shifting landscape, ensuring compliance and profitability.
Vision 2030 draws inspiration from economic models like South Korea and Singapore, which escaped the middle-income trap through diversification and innovation. Saudi Arabia’s approach—balancing OPEC+ stability with massive non-oil investments—mirrors these strategies. Sectors like financial services, renewables, and logistics are poised for growth, offering parallels for businesses eyeing the Saudi economy.
For executives, this global context underscores the Kingdom’s potential. Peninsula’s founder, Alistair Paine, brings a seasoned perspective to this transformation, having guided SMEs and multinationals through regional expansion for over a decade. Their expertise in local partnerships and licensing makes them a trusted ally for business setup in this ambitious market.
Vision 2030 isn’t just reshaping the Saudi economy—it’s redefining opportunity for business leaders. The Kingdom’s $1 trillion investment across six sectors, with 73 percent targeting non-oil industries, signals a long-term commitment to growth. From cleantech to logistics, the scale of ambition is unmatched. Add to that a real estate boom, a skilled workforce, and a stable fiscal environment, and the case for market entry becomes compelling.
Peninsula stands ready to help. With a track record of supporting giants like Amazon and Best Western, their team combines regulatory mastery with practical know-how. Whether you’re structuring a new entity or expanding an existing one, their guidance ensures you capitalize on Vision 2030’s momentum. The Saudi economy is evolving fast—now’s the time to position your business for success.
Alistair Paine brings 15 years of dedicated experience in Saudi market entry, guiding Fortune 500 companies and innovative scale-ups through successful establishment in the Kingdom. His expertise in Saudi company formation, licensing and market entry strategy, positions him as a leading authority and consultant in international business expansion to Saudi Arabia.
Schedule a free consultation with Alistair and the Peninsula team to understand which Saudi market entry strategy is best suited to your business.
Email: Alistair@peninsulacs.com
