Stiff competition: Cars drive past the King Abdullah Financial District in Riyadh, Saudi Arabia. The country announced recently that it plans to stop signing contracts with foreign companies that don’t have their Middle East headquarters in the kingdom. — Reuters
RIYADH: Saudi Arabia is increasing pressure on international firms to shift their Middle East hubs to the kingdom, posing a direct challenge to neighbouring Dubai as a regional rivalry heats up.
Starting on January 1,2024, the Saudi government and state-backed institutions will stop signing contracts with foreign companies that base their Middle East headquarters in any other country in the region, according to a statement from the Saudi Press Agency, attributed to an official source. The move is intended to limit “economic leakage” and boost job creation, the unidentified official said.
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