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Originally published by Capital News
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December 18, 2025
10h ago

Saudi Arabia cancels foreign worker levy for licensed industrial facilities

Saudi Arabia cancels foreign worker levy for licensed industrial facilities

The levy, a monthly charge paid by businesses for each foreign employee, was introduced in 2017 to encourage the hiring of Saudi nationals and generate non-oil revenue. However, it proved a burden for private-sector firms, particularly in manufacturing and construction, key pilla..

✨ Key Highlights

Saudi Arabia has permanently canceled the expatriate levy on foreign workers in licensed industrial facilities. This decision aims to bolster the sector's growth and global competitiveness.

  • The levy, previously ranging from 300 to 800 riyals (approximately $80 to $213 USD) per worker per month, was initially introduced in 2017.
  • Industry and Mineral Resources Minister Bandar Alkhorayef announced the cancellation, highlighting its role in supporting industry sustainability.
  • Since a temporary exemption began in 2019, industrial facilities grew from 8,822 to over 12,000, with industrial GDP increasing from 322 billion riyals to over 501 billion riyals.

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