HSBC’s New Networks of Capital: Saudi Arabia report showed that 86 percent of Egyptian businesses expect to significantly increase trade with Saudi Arabia, the highest level among all surveyed markets.
The bank said current global trade uncertainty is bringing the two economies closer, with 62 percent of Egyptian firms now more willing to invest in or trade with the Kingdom despite ongoing disruptions.
The report highlighted technology (41 percent) and energy and renewables (35 percent) as the sectors with the strongest investment opportunities for Egyptian companies looking to grow in Saudi Arabia.
However, firms already operating in the Kingdom flagged foreign ownership restrictions and strong market competition, each cited by 31 percent of respondents, as the main challenges to expanding their footprint.
Todd Wilcox, deputy chairman and CEO of HSBC Egypt, said the findings reflect a partnership that continues to deepen.
“Egypt continues to strengthen its strategic economic partnership with Saudi Arabia, as more than 7,000 investment licenses have now been granted to Egyptian companies operating across the Kingdom in high-growth sectors such as infrastructure, technology, and food production,” Wilcox said.
According to Wilcox, the recent Saudi-Egyptian Investment and Promotion Agreement marks a critical milestone, offering investors greater legal protection, enhanced capital mobility, and more certainty as they scale up operations.
Globally, the survey covered 4,000 international businesses with revenues between $50 million and $500 million across eight major markets, including the UK, China, the US, India, Germany, the UAE, and Egypt, alongside in-market responses from Saudi Arabia.
Eight in 10 businesses worldwide plan to increase trade and investment with the Kingdom over the next five years, while more than 60 percent aim to do so within the next six months.
International respondents pointed to Saudi Arabia’s strong economic growth (53 percent), stability (48 percent), and increasingly business-friendly policies (37 percent) as key incentives.
The survey comes as the Kingdom considers further steps to attract foreign investment, including potential changes to its foreign ownership regulations.
Commenting on the global findings, Selim Kervanci, CEO for Middle East, North Africa, and Turkey at HSBC Bank Middle East, said, “HSBC sees incredible potential in the Middle East, and Saudi Arabia is central to that view."
"Our research indicates increased confidence from international businesses in Saudi Arabia’s economic transformation and highlights the Kingdom’s unique ability to combine heightened growth prospects with economic stability," he added.
Kervanci stated that Vision 2030 is generating momentum right across the Saudi economy, from design and construction to retail and housing, and the export of renewable energy.
“For business leaders, these developments underpin the confidence that will drive deeper engagement," he concluded.
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