Saudi becoming a star attraction for foreign funds

After many years of languishing at the lower ends of Middle East foreign direct investment (FDI) league tables, Saudi Arabia is fast becoming the darling of Arab and non-Arab investors. The FDI by the UAE in the kingdom stood at nearly US$5.8 billion (Dh21.3bn) last year, the largest flow by an Arab country, figures released by the Inter-Arab Investment Guarantee Corporation (IAIGC) showed.

The figure was more than double the amount the UAE channelled into other Arab countries last year, and nearly 45 per cent of the $12.9bn total investment received by Saudi Arabia from other Arab League members.

This is good news for the kingdom, which had not seemed to match inward investments with its undoubted economic size and potential compared with other Arab and Islamic countries.