Net FDI inflows amount to SAR 23.1 bn in 1Q

Net inflows of foreign direct investment (FDI) in the Kingdom fell 2.4% y-o-y to SAR 23.1 bn in 1Q 2026, according to Gastat data seen by EnterpriseAM. On a quarterly basis, FDI net inflows dropped by 51.9%.

FDI inflows reached SAR 26.6 bn in 1Q, marking a 2.4% increase y-o-y but a 49.9% decline compared to the last quarter. FDI outflows reached SAR 3.5 bn, up 50.6% y-o-y and down 31.8% q-o-q.

The numbers in context: The 51.9% q-o-q drop looks dramatic but follows an unusually strong 4Q, when net inflows surged 90% y-o-y to SAR 48.4 bn — a single quarter that accounted for nearly 40% of the full-year total. Strip that out, and 1Q’s SAR 23.1 bn is roughly in line with the first-half 2025 run rate despite war-fueled disruptions.

REMEMBER- The government is targeting USD 100 bn in annual FDI inflows by 2030 as part of its diversification agenda, a number that’s still a ways off, with the last tally putting 2025 FDI at SAR 122.4 bn (USD 32.5 bn).

The Kingdom is counting on several reforms to close the gap, introducing non-Saudi real estate ownership last week, opening Tadawul to direct foreign investment, rent freezes, and a revamped privatization strategy.

Worth watching: The PIF’s greater focus on local champions and its recalibration of spending priorities could reshape how foreign firms and consultants assess prospects in the Kingdom — though it’s too early to tell whether that’s showing up in the FDI data or just in the conversation around it.