Saudi Cabinet Backs Licensed Levy Removal to Boost Industry and Jobs
Saudi Arabia has approved licensed levy removal for expatriate staff in approved industrial units. As a result, factories can now operate with lower employment expenses. The cabinet made this decision during a recent Council of Ministers meeting. Crown Prince Mohammed bin Salman chaired the session, following advice from economic leaders. Officials say the move supports long term industrial strength.
Therefore, it aligns closely with the Kingdom’s Vision 2030 goals.
Vision 2030 Drives Industrial Growth
Industry Minister Bandar Alkhorayef welcomed the decision. He said the step strengthens sustainable development across manufacturing sectors. In addition, the change improves global competitiveness for local producers. It also helps expand non oil exports into new international markets. Saudi Arabia wants to reduce reliance on oil revenues.
For example, policymakers continue to support manufacturing, mining, and advanced production.Lower staff related charges will attract quality investment. As a result, factories can reinvest savings into expansion and innovation.
Technology, Jobs, and Regional Impact
The policy encourages faster adoption of modern systems. These include automation, artificial intelligence, and advanced production tools. Consequently, companies can scale output while improving efficiency.
Workers also benefit from stronger, more resilient employers.The decision matters beyond Saudi borders. The Kingdom remains Pakistan’s top remittance source.Overseas Pakistanis sent $753 million in November alone. Meanwhile, the UAE followed with $675 million.Between 2020 and 2024, Pakistan sent 1.88 million workers to Saudi Arabia.
That figure shows a sharp rise compared to earlier periods.Islamabad now plans to expand manpower exports further. Therefore, officials aim to place workers in more diverse sectors.Traditionally, most workers joined construction, healthcare, and hospitality.
However, authorities now seek opportunities across new industries as well.Overall, the reform signals confidence in industrial growth. It also reinforces Saudi Arabia’s push for inclusive and future ready development.
