Saudis weigh expanding premium residency net to lure ultra rich
This includes a move to open up applications to individuals with a net worth of close to US$30 million
[DUBAI] Saudi Arabia is considering plans to extend the perks offered under its premium residency programme to a wider range of candidates, including high-net-worth individuals and owners of super yachts. This comes as the kingdom seeks to draw in more talent and capital.
The plans being considered include a move to potentially open up applications to individuals with a net worth of close to US$30 million, based on sources as well as documents seen by Bloomberg News.
High-net-worth individuals are likely to require a recommendation from the kingdom’s investment ministry. Owners of large yachts, high achieving students and a wider range of entrepreneurs may also be invited.
The new rules may be announced as soon as April, sources said, asking not to be named discussing information that is not public. No final decisions have been made.
The potential changes would expand the current premium residency programmes, which are largely focused on certain categories of executives, entrepreneurs and researchers.
The pathways to premium residency status usually come with benefits such as exemption from certain business fees and easier access to real estate ownership.
Navigate Asia in
a new global order
Get the insights delivered to your inbox.
Golden visas have provided a big boost to the nearby financial hub of Dubai, helping it shed its reputation of being a transient city, attract expats, add new businesses and ramp up property sales.
Saudi Arabia’s Premium Residency Center did not respond to a request for comment.
While the proposed additions in Saudi Arabia still require final approval, the changes aim to bring in more overseas investments and highly skilled talent, in addition to boosting revenues at time when government finances are being strained by subdued oil prices.
All of those things are seen as critical to advancing the economic diversification agenda and helping Riyadh compete more effectively with Dubai and Abu Dhabi, where hedge funds, private equity giants and other Wall Street heavyweights are expanding their footprint.
An expansion of the programme would come on the heels of other recent reforms, including opening up the equity and real estate markets that strive to make Saudi Arabia a more attractive place to invest, work and live.
The premium residency status can offer greater stability for expatriates by allowing them freedom to exit and enter the country, easily change jobs and extend residency to family.
Most applications currently carry a fee of about US$1,000, though costs can run as high as about US$200,000 for foreigners looking to secure permanent residency. The application fees for the new types of categories are expected to be around US$1,000. BLOOMBERG
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Share with us your feedback on BT's products and services
