Recognizing Potential, Reaping Opportunities, and Sparking Growth


Saudi Arabia is actively recognizing its potential, seizing opportunities, and driving economic growth both domestically and internationally.
Accounting for the largest GDP and consumer market in MENA, its access to 40 fast-growing markets within four hours by flight, and its strategic location connecting three continents, the Kingdom is the ideal place for multinational companies to set up their regional headquarters.
The RHQ Program is a joint initiative by the Ministry of Investment and the Royal Commission for Riyadh City, created as part of Saudi Arabia’s Vision 2030 and the National Investment Strategy. 
The program is designed to enable and facilitate the ambitious growth plans of participating organizations in the region.

THE KINGDOM

AT A GLANCE

Saudi Arabia is the largest economy in MENA and the 18th largest economy in the world

read more  

THE KINGDOM CULTURE

SUPPORT IN SETTING UP YOUR

REGIONAL HQ IN SAUDI

    Relocation Services

  • Temporary Office Space

    Apartments or Villas

    Local Recruitment

    Arrival Essentials

    Concierge Services

  • Reservations

    Event Organizers

    Sport & Fitness

    Personal Assistant

    Facilitation Services

  • Staffing

    Business Setup

    Home Labor Contractors

    Professional Services

  • Tax Consultancy

    GRO Services

    Opening Bank Accounts

    Exclusive Discounts

  • Airlines

    Office

    Accommodation

    Schools

TESTIMONIALS

Founded in 1876, Lilly is an innovation-driven company that has been serving patients in Saudi Arabia for more than 40 years. We create value by discovering and developing best-in-class molecules that address unmet medical needs. By strengthening our footprint in the Kingdom aligned with Vision2030, we intend to work closely with all stakeholders, to develop local talents, shape the R&D ecosystem, grow the local industrial footprint, and ensure that people living in Saudi are among the first in the region to gain broad access to innovative and safe medicines. We are grateful for our first 40 years in the Kingdom, and we look forward to the next 40 years of continued success.

Dimitri Livadas, President and General Manager, Eli Lilly Ltd

EAI Systems is a consultancy-led systems integration business headquartered in the UK since 2006. As part of an international delegation, we initially visited Saudi Arabia two years ago. Since then, we have witnessed dazzling transformation in the Kingdom under vision 2030 roadmap and chose Riyadh as our regional headquarters this year. We'll now build our regional capability with local talent to expand our digital transformation business in the Middle East. We look forward to opportunities with Ministries, Banks and Telecoms sector to bring new digital transformation technologies across the region.

Kailas Lovlekar, CEO, EAI Systems

Baker Hughes has been an integral part of Saudi Arabia for more than 80 years, dating back to the Prosperity Well, Dammam #7, the first well drilled in the Kingdom in 1938. As an energy technology company, we are committed to supporting Saudi Vision 2030, with a strong focus on driving the energy transition, building a strong energy ecosystem, and supporting localization initiatives in support of Saudi Arabia's journey towards becoming a global energy hub serving the world. Additionally, expanding Saudi Arabia as one of our regional headquarters will further strengthen our efforts to take energy forward along with our customers and partners in the region - making it safer, cleaner, and more efficient for people and the planet

Lorenzo Simonelli, Chairman & CEO, Baker Hughes

The country is facilitating the simplicity of doing business and that always helps with our investment decisions. Companies like ours like simplicity, and like the incentives to keep growing and create more jobs.

Ramon Laguarta, Chief Executive Officer, PepsiCo

Philips has been present in KSA for more than 80 years collaborating with local stakeholders, providing state-of-the-art technologies and solutions, transferring knowledge and developing Saudi talent. We are committed to maintaining a holistic, long-term presence in the Kingdom and are therefore delighted to announce our partnership with MISA. We have signed the MoU to join the Regional Headquarters Attraction program, wherein we will allocate regional resources and capabilities to serve our strategy in The Kingdom and the larger region. As a world leading health technology company, Philips has been at the forefront in creating collaborations between the public and private sector and has contributed to many of The Kingdom's nationwide Healthcare transformation projects aimed at improving patient and clinical outcomes - aligned to Vision 2030.

Mohammad Mostafa, General Manager, Philips Health System, Middle East & Turkey (MET)

Saudi Arabia is an exciting, fast-paced, dynamic, future-focused country with a clear and ambitious long-term energy policy that offers limitless opportunity for supply chain solutions providers like Alderley to fulfill the needs of a world-class energy sector.

Colin Elcoate, Chief Executive Officer, Alderley

Opterna fully supports Vision 2030 initiatives, particularly the move for local content production and regional headquarters licensing. Given that Saudi Arabia accounts for over 80% of the Middle Eastern economy, and that many international companies benefit from business in the Kingdom, it's only fair that we support these initiatives fully in return.

Najam Syed Hussain, Executive Director, Opterna Arabia

We have been working closely with the Ministry of Investment and moved our regional headquarters to Riyadh. The move has supported Gleeds' regional offices based in Dubai, Abu Dhabi, Qatar, and Cairo as well as benefited our wider global network.

RICHARD STEER, Chairman, Gleeds

Previous Next

DISCOVER SAUDI ARABIA'S

13 REGIONS

RIYADH MAKKAH MEDINA EASTERN PROVINCE QASSIM TABUK ASEER AL-JOUF HAIL NORTHEN BORDERS JAZAN NAJRAN AL-BAHA

Riyadh

Home to the Kingdom's business capital and largest city, Riyadh is also the new rising star of GCC, offering incredible opportunities to investors from all over the world.

8,872,712

Population (2020)

10.7%

Population Growth (2016 – 2020)

21

Governorate

380,000

Area in Square Kilometers​
Explore More 

Makkah

Islam's holiest city draws millions of people from around the world every year. The region is home to Jeddah and King Abdullah Economic City on the Red Sea coast, where investors can leverage the international trade routes to serve consumers in the Middle East and North Africa.

9,261,257

Population (2020)

11.1%

Population Growth (2016 – 2020)​

17

Governorate

137,000

Area in Square Kilometers
Explore More 

Medina

Medina is home to Saudi Arabia’s first UNESCO World Heritage Site AlUla, it is also a booming business hub possessing two industrial areas with a total area of 10 million m2 and 236 factories producing petroleum products, building materials, food products, and a variety of other goods.

2,291,092

Population (2020)

10%

Population Growth (2016 – 2020)

8

Governorate

150,000 

Area in Square Kilometers
Explore More 

Qassim

A first-class agricultural region with an abundance of water, fertile soil, and agricultural diversity. Qassim has the best access to electricity infrastructure at the national level, a large area of agricultural land, and an outstanding production capacity in food.

1,520,434

Population (2020)

9.4%

Population Growth (2016 – 2020)

12

Governorates

73,000

Area in Square Kilometers
Explore More 

Eastern

A major contributor to the majority of the country's oil production and exports, Eastern Province is the largest in the Kingdom, encompassing the entire east coast.

5,266,998

Population (2020)

10%

Population Growth (2016 – 2020)

12

Governorates

540,000

Area in Square Kilometers
Explore More 

Aseer

Aseer is one of the fastest rising tourist destinations in Saudi Arabia, with $3 billion of PIF projects in the pipeline for tourism and infrastructure.

2,354,320

Population (2020)

8.6%

Population Growth (2016 – 2020)

17

Governorates

81,000

Area in square kilometers
Explore More 

Tabuk

Known for its agricultural products, Tabuk is also an active commercial center and home to several giga-projects including NEOM and the Red Sea Project making it an attractive location for diverse investments across different sectors.

968,414

Population (2020)

8.6%

Population Growth (2016 – 2020)

7

Governorates

136,000

Area in Square Kilometers
Explore More 

Hail

Hail is a rapidly developing region with 259 development projects worth more than $1.5 billion. The region is also home to two UNESCO World Heritage Sites.

746,046

Population (2020)

8.8%

Population Growth (2016 – 2020)

8

Governorates

120,000

Area in Square Kilometers
Explore More 

Northern Borders

From its phosphate mines to natural gas fields, the Northern Borders is ready to welcome investors from around the world to discover its natural resources.

390,656

Population (2020)

8.6%

Population Growth (2016 -2020)

3

Governorates

104,000

Area in Square Kilometers
Explore More 

Jazan

Situated on the Red Sea coast, Jazan's is home to several islands. Jazan City for Basic and Downstream Industries is one of the most important industrial cities and investment destinations in the region, due to its proximity to international shipping lanes.

1,670,569

Population (2020)

8.8%

Population Growth (2016 – 2020)

17

Governorates

13,000

Area in Square Kilometers
Explore More 

Najran

One of Saudi Arabia's fastest-growing regions in the Kingdom, Najran invites investors to a beautiul green nature rich in mineral resources and fertile in agricultural products.

621,040

Population (2020)

9%

Population Growth (2016 – 2020)

8

Governorates

130,000

Area in Square Kilometers
Explore More 

Al-Baha

With its natural parks, archeological villages, and its wonderful nature, Al-Baha is an attractive investment region with a lot of potential.

506,866

Population (2020)

8.5%

Population Growth (2016 – 2020)

9

Governorates

11,000

Area in Square Kilometers
Explore More 

Al-Jouf

One of the most fertile regions in Saudi Arabia, Al-Jouf region is characterized by its rich agricultural lands, diversity of crops, olive trees and mineral resources. Al-jouf is also renowned for its wind and solar endowment making it an attractive location for renewable energy investments.

543,010

Population (2020)

9%

Population Growth (2016 – 2020)

3

Governorates

85,000

Area in Square Kilometers
Explore More 
RIYADH CITY IS THE BUSINESS AND CULTURAL CENTER OF THE KINGDOM
50%
of Saudi Arabia's non-oli GDP comes from Riyadh
2.3M
Workforce
18th
Global city in PPP-adjusted GDP
4.5M
population under the age of 35
RIYADH HAS A VIBRANT CULTURAL & ENTERTAINMENT SCENE

Cultural Events

Music Concerts

Culinary events

World-class sporting events

Reach Out to Support you Starting Your Journey

A Regional Headquarter (RHQ) in the Kingdom of Saudi Arabia

Regional Headquarters Program (RHQ) is a joint initiative by the Ministry of Investment (MISA) and the Royal Commission for Riyadh City (RCRC) to position the Kingdom as the leading regional hub for multinational companies.
An RHQ in the Kingdom of Saudi Arabia is a unit of a multinational company duly established under the laws of Saudi Arabia for the purpose of supporting, managing, and providing strategic direction to its branches, subsidiaries and affiliates operating in MENA region.
Multinational Companies can apply for this service to manage and supervise the strategic direction, functions, and businesses conducted by their branches, subsidiaries, and affiliates in the MENA region.
MENA region includes the countries of the Gulf Cooperation Council (Saudi Arabia, United Arab Emirates, Kuwait, Bahrain, Oman, and Qatar), Yemen, Iraq, Jordan, Palestine, Lebanon, Syria, Egypt, Libya, Tunisia, Algeria, Mauritania, and Morocco. In addition to the MENA region, the multinational company is free to manage entities in additional regions and jurisdictions through the RHQ.
To qualify for an RHQ license, a multinational company must have a presence in at least two countries (excluding its headquarters and Saudi Arabia), operate in the MENA Region, and engage in activities categorized under Strategic Direction, Management Function, or Support functions through its branches, subsidiaries, or affiliates in the MENA region.
The RHQ of the multinational company must be either a registered branch of a foreign company in Saudi Arabia, or a subsidiary of a multinational company that is established in Saudi Arabia.
The RHQ activities are classified into two categories (i) required activities; and (ii) optional activities.
The required RHQ activities are the provision of strategic direction and management functions. RHQ strategic direction functions include: (a) Formulate and monitor the regional strategy, (b) Coordinate strategic alignment, (c) Embed products and/or services in the region, (d) Support acquisitions, mergers and divestments, and (e) Review financial performance. RHQ management functions include: (a) Business planning, (b) Budgeting, (c) Business coordination, (d) Identification of new market opportunities, (e) Monitoring of the regional market, competitors, and operations, (f) Marketing plan for the region, and (g) Operational and financial reporting.
The optional RHQ activities are: (a) Sales and Marketing Support, (b) Human Resources, and Personnel Management, (c) Training Services, (d) Financial Management, Foreign Exchange, and Treasury Centre Services, (e) Compliance and Internal Control, (f) Accounting, (g) Legal, (h) Auditing, (i) Research and Analysis, (j) Advisory Services, (k) Operations Control, (l) Logistics and Supply chain management, (m) International Trading, (n) Technical Support or Engineering Assistance, (o) Network Operations for IT System, (p) Research and Development, (q) Intellectual Property Rights Management, (r) Production Management, and (s) Sourcing of Raw Materials and Parts.
Exemption from complying with Saudization percentage requirements for a period of 10 years for the RHQ entity. Work visas for professions that are restricted to Saudi nationals for RHQ employees., Visa Limit Exemption in the number of work visas that can be applied for by the RHQ entity for its employees. (250 visas allocated automatically from day 1 of RHQ license granted), A 30-year 0% Corporate Income Tax and Withholding Tax*. Dependents of RHQ Employees are permitted to work and apply for jobs through AJEER program. The maximum age for residency of male dependents of RHQ employees is extended to 25 years old.The RHQ employees are exempted from professional accreditation requirements applicable in the Kingdom, if they are duly accredited in the country of origin. Eligibility for Premium Residency for 3 Executives. Government Tendering. Access to MIZA “end-to-end” services at discounted rates with preferential treatment. *Tax Benefit is only for the RHQ Licensed entity and not extended to subsidiaries, branches and affiliates under management
No, The minimum activities that the RHQ must provide are the Required RHQ activities – provision of strategic direction and management functions, in addition to a minimum of three optional RHQ activities.
Yes, RHQ required activities must commence within six months after the grant of the RHQ License by MISA, and the three RHQ optional activities must commence before the end the first year of receiving the RHQ License.
No, The RHQ License is granted to only perform RHQ activities (required and optional RHQ activities). If the multinational company, that holds the RHQ License, wishes to conduct commercial operations and/or other activities than the RHQ activities, the multinational company should obtain the required license for such commercial operations and/or activities to be conducted under a different entity than the RHQ.
Copies of at least two commercial registrations or commercial licenses issued in two different countries, excluding the Kingdom of Saudi Arabia and the country in which the headquarters of the multinational company is located. A copy of the applicant’s commercial registration or commercial license for the parent company which should be located outside MENA Region. Global corporate financial statement audited for either the latest finished year or the one before if the most recent one isn't finalized yet. A completed RHQ License Online Application Form.
A zero (0)% corporate income tax (“CIT”). A zero (0)% withholding tax (“WHT”) rate on dividend payments from RHQ to its foreign parent entity(ies) Zero percent withholding tax payments to non-resident related parties. Zero percent withholding tax for payments to non-resident unrelated parties for services necessary to carry out RHQ activities.
No, Taking into consideration that the Kingdom does not impose taxes on wages and salaries.
The effective date of tax incentives starts from the date of issuance of the regional headquarters license from the Ministry of Investment.
Yes.
RHQ incentives are applicable for 30 years from the issuance date of MISA RHQ license. The tax incentives are subject to renewal after the first term.
An RHQ would be required to maintain separate books and records.
Yes.
An RHQ would be incorporated as a branch or an LLC. The relevant registration requirements of a branch and/or LLC would apply.
Yes; The RHQ is subject to annual tax filing requirements under Income Tax Regulations.
Yes; The RHQ is subject to tax certification procedures under Income Tax Law.
Yes.
Yes; An RHQ is subject to TP regulations.
Yes.
Generally, global minimum taxation, as proposed under the OECD's Pillar Two of the BEPS framework, aims to establish a minimum level of taxation for multinational enterprises (MNEs) operating across borders and in low-tax jurisdictions. Hence, RHQs, being part of multinational structures (i.e., depending on the structure and level of taxation including other factors) it is expected to be subject to global minimum taxation.
An RHQ is set up as a company that is incorporated in KSA or a branch. Income Tax Law defines the concept of residency based on two factors - (a) incorporation and (b) place of effective management. Since the RHQ fulfills the conditions, it is considered as a resident in KSA for tax purposes . If the RHQ is set up as a PE in KSA it will be only subject to tax in KSA on profits attributable to such PE and the RHQ will be entitled to the tax incentives according to the terms and requirements mentioned before.