Saudi Arabia, in consultation with the International Monetary Fund (IMF), worked on a new methodology for calculating foreign direct investment statistics, through cooperation between the Ministry of Investment, the General Authority for Statistics (GASTAT), and the Central Bank (SAMA).
The Kingdom said that this methodology aims to improve the quality and transparency of its foreign direct investment data, in accordance with international best practices.
The United Nations Trade and Development Organization (UNCTAD), which issues the World Investment Report, has confirmed that the new methodology follows international standards, in line with the Balance of Payments Manual issued by the IMF.
Minister of Investment Khalid Al Falih said the new methodology was part of the continuing reforms and upgrades to data accuracy and transparency taking place in Saudi Arabia, within the programs of Vision 2030 and the National Investment Strategy (NIS).
"Saudi Arabia offers investors access to the fast-growing Saudi market, the largest in the region, and provides an excellent platform to access regional growth opportunities across the Middle East and beyond,” he stated.
The minister continued: “By improving the transparency and quality of the Kingdom’s FDI statistics, investors will be able to make much more confident and informed decisions, while the Kingdom itself will be able to adapt its policies to attract even more investments.”
According to Al-Falih, Saudi Arabia’s performance in capital formation and attracting FDI has steadily improved, emphasizing the Kingdom’s position as a top investment destination.
For his part, GASTAT President Dr. Fahad Abdullah Aldossari confirmed that the FDI methodology was approved after technical assistance from the IMF, according to the best international practices. The methodology aligns with the IMF’s Balance of Payments Manual, he remarked.
“FDI statistics will help decision-makers in designing policies, in order to create an attractive investment ecosystem and highlight the investment opportunities in the Kingdom," Aldossari said.
“Through this methodology, GASTAT seeks to diversify data sources, increase reliability on sources, and provide more detailed statistics, such as the FDI stock and inflows based on economic activity and countries investing in the Kingdom. Moreover, GASTAT provides FDI data using quarterly surveys,” he added.
Aldossari also noted that this move falls within GASTAT’s efforts to provide accurate and comprehensive statistical data with high quality and transparency.
