Saudi Arabia: The new hub for regional headquarters

Lenovo is the latest to be joining a growing list of Regional Headquarters based in Riyadh, Saudi Arabia. The RHQ will be located in the iconic Al Majdoul Tower, one of Riyadh’s most famed buildings.

More than 600 companies have set up their RHQ in Saudi Arabia, including Google, IBM, and Microsoft, and 480 multinational companies are projected to follow suit.

“The government aims to have 480 companies open regional HQs by 2030. The push for this relocation aims to ensure a sustained presence of these companies in the kingdom and focus on job creation for Saudi nationals is evident,” attests Anil Singh, SVP & Country Leader of TASC KSA, according to an interview with PwC Middle East.

Riyadh’s rise as a regional business hub

International investors, multinationals, and fast-growing enterprises are seeing new frontiers of opportunity within the kingdom. Rightfully so, considering the long-term benefits which far outweigh the inconveniences in the beginning stages. The countless perks include government incentives, no income tax over 30 years, exemption from Saudization requirements, and much easier access to work visas. This endeavor is mutually beneficial since the kingdom would boost its economy, bringing in non-oil-related revenue, enticing companies to invest in Saudi Arabia, thus raising its GDP.

In further support of this initiative, licensing procedures are standardized, and there’s potential for profitable government business, which are additional reasons the kingdom is compelling to firms.

“RHQ is one of many initiatives directed towards vision 2030. Saudi Arabia is making verbal commitments on the international arena with the FIFA World Cup 2034 and the Expo 2030, to name a few. It is abundantly clear that they are adamant about rising to the occasion,” says a director in an international consultancy firm in Riyadh, Saudi Arabia, who requested anonymity due to signing several NDAs. 

Being involved in prominent projects, providing management and advisory services on large-scale consultancy plans and programs in the public and private sectors, he has first-hand knowledge of the country’s trajectory. He speaks of the Saudi projects’ magnitude, and their strategy of branching out to different sectors from logistics to entertainment, hospitality, and residential projects. The latter being alluring ventures for expats including himself from everywhere in the world. They will be able to purchase property in designated zones of the kingdom starting January 2026.

Moreover, the RHQ appeal is magnified when considering the unison in which the whole country is moving towards Vision 2030. It is at the forefront of every meeting and discussion. It is the vision and mission statement of everyone working in the country, as opposed to merely striving for the vision of a single company.

Whether it’s a waiter at a restaurant or a corporate executive, they all play a vital role in moving the needle. This sense of direction gives the population drive, pride, security and purpose. This publicly published country’s vision is all-inclusive. No matter the cultural background, education, and skillset, they can all contribute to a particular area, with pillars covering different sectors in the vision.

In that respect, the HQ program with its business climate improvements and numerous advantages might turn Saudi Arabia into the new standard choice for foreign companies looking to establish Middle East regional headquarters.