Jazan’s Economic Zone Targets $2.93 Billion in Foreign Investments by 2040.
Jazan’s economic zone is poised to attract SR11 billion ($2.93 billion) in foreign investments by the year 2040, leveraging the untapped mining reserves valued at over $1.3 trillion. As Saudi Arabia aims to establish the mining sector as its third pillar of national industry, the region presents lucrative opportunities for businesses seeking to capitalize on its vast potential.
With its comprehensive and competitive economic ecosystem, the economic zone is projected to generate 17,000 direct jobs by 2040, according to Al-Ekhbariya. Strategically located on the Red Sea coast, it serves as an advanced industrial city and a prime hub for business expansion.
One of the zone’s significant advantages lies in its proximity to Jazan’s largest export port, which houses 12 berths with a combined capacity of 5 million tons. This accessibility positions the economic zone as an attractive destination for trade and commerce. Additionally, the region offers abundant natural resources and raw materials, particularly catering to the growing agricultural sector, which is expanding at a remarkable annual rate of 9 percent.
The Jazan region is projected to contribute an estimated SR39 billion to the country’s gross domestic product. Furthermore, it serves as a gateway to Europe and Africa and is a vital focal point for Saudi-Chinese investments. With commitments already exceeding SR80 billion to connect with the Chinese Silk Road network, the region demonstrates its dedication to fostering strong economic ties with international partners.
The economic zone boasts promising prospects, supported by over 100 local supply chains and 570 construction projects currently in progress. These initiatives will further bolster business opportunities, paving the way for companies to flourish across various growth sectors.
In line with Saudi Arabia’s national strategies, Jazan’s economic zone aims to create new business hubs and foster innovation within crucial sectors. The Saudi Press Agency reported in April that the zone seeks to capitalize on the competitive advantages of each region in the country while establishing links with international frameworks. It aims to support critical sectors such as logistics, advanced manufacturing, technology, and other priority industries.
Companies operating within the economic zone can benefit from attractive incentives, including competitive corporate tax rates, exemption from customs duties on imports, production inputs, machinery, and raw materials, and 100 percent foreign ownership of companies. These measures provide businesses with the flexibility to attract top talent from around the world, strengthening the region’s position as an investment-friendly destination.
In conclusion, Jazan’s economic zone is poised to become a major magnet for foreign investments, targeting an impressive sum of SR11 billion ($2.93 billion) by 2040. With its abundant mining reserves, strategic location, and favorable business environment, the zone presents unparalleled opportunities for companies looking to capitalize on Saudi Arabia’s growing mining sector and establish a strong foothold in the region. The zone’s emphasis on key growth sectors and its commitment to fostering international partnerships further solidify its position as a pivotal economic hub in the country’s development plans.
