NEWS
Goldman Sachs Group Inc. has become the first Wall Street bank to comply with Saudi Arabia’s directive to establish a regional base in the nation, according to a report from Bloomberg.
Sources familiar with the situation revealed that the investment bank has recently received approval from the Ministry of Investment of Saudi Arabia (MISA) to establish its headquarters in Riyadh. Details regarding the number of employees relocating to Saudi Arabia and the scope of Goldman’s operations in the kingdom are yet to be finalized.
Saudi Arabia introduced new regulations in 2021, effective January 1, 2024, mandating multinational corporations intending to conduct business with government entities in Saudi Arabia to establish their regional headquarters in the country, employing a minimum of 15 staff members.
The kingdom has surpassed its target for attracting regional headquarters, with over 180 companies now established in Saudi Arabia, exceeding the initial goal of securing 160 headquarters by the end of 2023.
Foreign companies establishing their regional hubs in Saudi Arabia are eligible for tax incentives, including a 30-year exemption from corporate income tax. Furthermore, foreign entities relocating their regional headquarters to the kingdom can benefit from zero income tax starting from the issuance of the headquarters license, as per MISA regulations.
