Industrial sector’s Standard Incentives Program in detail

Logo of Ministry of Industry and Mineral Resources

Ministry of Industry and Mineral Resources, in collaboration with Ministry of Investment, announced on Jan. 11 the launch of the Standard Incentives Program.

Bander Alkhorayef, Minister of Industry and Mineral Resources, stated that nearly SAR 10 billion was allocated to activate these incentives, which will be rolled out in phases.

The Standard Incentives Program provides a comprehensive framework to support industrial investments in Saudi Arabia, aimed at enhancing industrial production of non-locally manufactured products. It is in line with Vision 2030 and the National Investment Strategy.

The program’s key objectives are namely: Supporting industrial projects by offering financial incentives of up to 35% of the eligible initial investment, with a maximum of SAR 50 million per each project; attracting foreign and local investments by promoting the establishment of new factories or expanding existing ones to produce value-added, competitive products; and industry localization via achieving self-sufficiency and boosting local content by supporting priority sectors.

Applications must be submitted electronically via the state-run “Industry” platform, with all required documents, including commercial records, financial statements, and feasibility studies, attached.

Eligibility criteria, detailed valuation, and project feasibility will be assessed when evaluating the applications filed.

Selected applicants are obliged to commit to their operating and implementation plans. They are also mandated to submit periodic reports on the respective project’s progress, besides fulfilling the core milestones agreed upon.