Saudi Arabia: Saudi Arabia’s digital infrastructure has driven its technology market to a record SR91 billion ($24.2 billion) in 2023, marking a year-on-year increase of 12.3 percent, according to officials.

During the opening of the fourth edition of the Digital Technology Forum in Riyadh on Oct. 9, Raed Al-Fayez, deputy governor for Information Technology and Emerging Technologies at the Communications, Space and Technology Commission, noted a growing interest among technology companies in listing on the Saudi stock market. This trend aligns with CST’s projection that the market could reach SR103 billion by 2025

Al-Fayez emphasized that under Vision 2030, the Kingdom aims to boost the technology sector’s contribution to GDP from 1 percent to 5 percent by 2030.

“Today, the Kingdom’s market is worth SR91 billion, making it the largest in the region,” he stated. He also pointed out a significant increase in tech companies listed on the Saudi stock market, rising from two in 2020 to 20, which collectively have a market value of SR148 billion.

Al-Fayez also discussed the National Technology Development Program, launched with a budget of SR2.5 billion to support innovation companies.

He highlighted the program’s 18 offerings that assist businesses throughout their investment journeys and its partnerships with 45 entities.

“This underscores the importance of collaboration and integration among organizations,” he said.

In a panel discussion titled “Regulatory Collaboration to Enhance Technology,” Anas Al-Oqalaa, vice governor for Legal and Enforcement at the Zakat, Tax, and Customs Authority, emphasized technology’s significant role in improving taxpayer compliance.

He provided an example of how importers can submit an advance ruling before importing goods, which clarifies the customs duty applicable for the next three years, thereby streamlining what was once a lengthy process.

Al-Oqalaa also highlighted the introduction of electronic invoicing through new legislation, which has greatly improved customer experience. He explained that the electronic invoicing process has two phases: integration and linkage with the authority.

“Today, 90 percent of business owners automatically send their invoices to us, allowing for real-time tracking,” he noted. “In the future, we aspire to preemptively determine tax obligations based on this data, with business owners only needing to confirm or amend information.”