The Saudi Arabia economy is witnessing transformative growth, fueled by sweeping reforms in real estate, investment, tourism, and startups. In Riyadh, the government announced a five-year rent freeze covering both residential and commercial properties, aiming to stabilize the market and protect tenants from escalating costs. This measure, endorsed by Crown Prince Mohammed bin Salman, applies to new and existing leases and can be extended to other regions with council approval.
Property Sales and Stock Market Rally
The Kingdom’s real estate sector continues to thrive. Riyadh’s property sales soared 63% year-on-year, totaling $17.5 billion, while Jeddah reported a 34% rise, reflecting robust demand. The Tadawul stock market also reacted positively to potential reforms in foreign ownership rules, surging over 5%—its largest gain in five years—as authorities consider lifting limits to allow majority stakes for international investors.
Tourism Expansion and NEOM’s Magna Project
Tourism in Saudi Arabia is expanding at an unprecedented pace. NEOM’s Magna project, a 120km futuristic development along the Gulf of Aqaba, will host 12 luxury resorts featuring advanced eco-friendly designs and world-class amenities. This ambitious initiative is expected to attract global visitors while positioning Saudi Arabia as a premier international tourism destination.
Transport, Startups, and SMEs Drive Growth
The Saudi Arabia economy is further supported by the development of the Qiddiya high-speed rail, connecting King Salman International Airport, KAFD, and Qiddiya City in under 30 minutes. Startups are flourishing, with over 80,000 new SME records issued in Q2 2025, contributing to a total of 1.7 million active enterprises. Youth and women entrepreneurs are increasingly driving innovation, accounting for nearly half of all new business registrations.
Global Investment and FII9 Conference
The Future Investment Initiative (FII9) in Riyadh will convene 15 world leaders, 600+ speakers, and top CEOs to discuss innovation, investment, and global growth. This event underscores Saudi Arabia’s commitment to sustaining economic momentum and enhancing its role as a regional investment hub.
