Wednesday, August 14, 2024
Saudi Arabia to continue bearing the Expat levy of Industrial Expatriates
The Saudi government has decided to keep paying the fees of expatriates working in Saudi Arabia's industrial sector until December 31, 2025. Under the leadership of Crown Prince and Prime Minister Mohammed bin Salman, the decision was made during Tuesday's meeting of the Council of Ministers in Jeddah. Saudi Expatriates WhatsApp channel continued to Grow
This decision by the Cabinet follows after the end of the 5 year period policy during which industrial workers may avoid paying the expatriate fee (levy). To promote the hiring of Saudi nationals, the Saudi government levied fees on foreign workers in the year 2019 as part of its effort to increase employment opportunities in the kingdom.
The government, however, has decided to bear fees of expatriates working in industry for a period of five years beginning from October 1, 2019. In order to accomplish the objectives of the Saudi Vision 2030, this decision was made as part of the immediate measures to encourage investments in industry.
The decision is part of the Kingdom's larger plan to encourage investment and growth in its industrial sector and will be in place until December 31, 2024.
Bandar Alkhorayef, Saudi Arabia's minister of industry and mineral resources, thanked King Salman and Crown Prince Mohammed bin Salman for their unwavering support, according to the Saudi Press Agency. Read : Saudi Arabia to host Space Tourism balloon test flight
He stressed that the industrial sector will be further encouraged, more jobs will be generated, and Saudi Arabia's non-oil exports will be strengthened by extending the fee waiver.
In his remarks, the minister credited the waiver with significantly altering Saudi Arabia's industrial scene. From its start, 8,822 industrial firms will have grown up by April 2024, reaching 11,868. Additionally, he mentioned that the sector's expansion and the favorable influence of the government's financial incentives are the reasons for this considerable increase.
There has been a 32% increase in the Saudization rate, defined as the proportion of Saudi nationals employed, and a 57% increase in employment within the industry. These changes demonstrate how the policy has helped Saudis find jobs and how it has improved the integration of the local workforce.
From SR992 billion ($264.24 billion) in the year 2019 to over SR1.542 trillion by the end of the year 2023, investment in the industrial sector has increased by 55 percent, according to the minister. He further stated that this growth demonstrates how the fee waiver has been successful in drawing in and maintaining substantial investment. Recommend : Saudi Arabia tops in Employment Growth Index in 67 countries
Saudi Arabia to continue paying the Expat levy of Industrial Expatriates - Saudi-Expatriates.com
