With Saudi Arabia actively transforming its economic landscape under Vision 2030, foreign-owned businesses must adapt to evolving compliance requirements. A critical part of this shift is the Foreign Direct Investment (FDI) Survey, mandated by the Ministry of Investment (MISA) for all companies with foreign ownership in the Kingdom.
The introduction of the new Investment Law underscores the importance of accurate and timely reporting, as it may serve as the informational backbone for any future FDI screening regime that Saudi Arabia chooses to implement. This guide provides a complete breakdown of what the survey entails and how your business can ensure compliance.
Understanding the FDI Survey in Saudi Arabia
Since 2024, MISA has mandated a quarterly FDI Survey from all companies with foreign ownership in KSA. You must report business, financial, and ownership data directly on the MISA portal.
The primary objective of the survey is to enhance visibility into foreign investment trends and reinforce government oversight. Businesses that fail to comply with the submission deadlines may face restrictions within the MISA portal, potentially hindering license renewals, modifications, or access to other portal services. Staying compliant ensures uninterrupted operations and alignment with Saudi Arabia’s investment regulations.
What Details Must Be Reported in the FDI Survey?
The FDI Survey is organized into five major sections, each requiring specific and detailed information:
1. Company Profile
This section seeks confirmation or updates to your company’s general information. The required details include:
- Legal entity structure (e.g., LLC, branch, joint venture)
- Valid Commercial Registration (CR) number
- The company’s core business activity is categorized under the ISIC (International Standard Industrial Classification)
- Ownership breakdown by nationality
- Whether the company is part of a multinational enterprise group
2. Shareholder Equity
Companies must provide a complete account of their equity structure as of the reporting quarter. This includes:
- Paid-up capital and any newly injected funds
- Additional contributions made by shareholders
- Accumulated retained earnings
- Net profits or losses recorded for the quarter
- Dividends declared to shareholders
- Head office account (for branch offices)
- Any other components classified as equity
- Minority rights
- Total shareholder equity
You must also disclose and explain any structural changes during the quarter, such as share transfers, dividend distributions, or capital increases.
3. Cross-Border Financial Transactions
This section focuses on reporting all cross-border financial movements involving foreign stakeholders. Information includes:
- Outbound or inbound dividend payments
- Reinvested earnings retained by the company
- Contributions or withdrawals of capital
4. Intra-Group Transactions
If your company has financial dealings with foreign-related companies like parent companies, you are required to declare the following:
- Payments made for royalties and service fees
- Charges for technical support
- Intra-group loans
5. Foreign Assets and Liabilities
This section collects data on your financial position concerning foreign-related obligations and investments, including:
- Loans provided to or received from non-residents
- Equity holdings in or by foreign entities
- Any other financial assets or liabilities involving non-resident parties
Documentation Required for Accurate Filing
Preparation is the cornerstone of submitting an accurate and timely FDI Survey. To ensure consistency, the necessary information can be categorized into two key groups:
A. Company Profile & Stakeholder Equity
Sources for this data include:
- MISA Investment License
- Valid Commercial Registration (CR) certificate
- Ultimate Beneficial Ownership (UBO) report.
B. Financial Transactions and Company Assets & Liabilities:
To compile this section, coordinate with your finance or accounting departments to gather:
- Recent audited or unaudited financial statements
- General ledger reports
- Detailed shareholder registers
- Official bank statements
- Contracts or agreements involving related-party transactions.
Ensure that any recent events, such as capital injections or dividend payments, are accurately recorded.
Implications for Incomplete or Late Filing
If you miss the deadline or provide incomplete data, your company could face:
- Restricted access to your MISA portal
- Inability to apply for modifications or renewals of licenses
- Government approvals can go lengthier
- Damage to your reputation and further scrutiny
While current enforcement does not include financial penalties, the framework may evolve to introduce monetary fines in the future. Presently, companies are expected to complete their filings within 15 to 30 days after each fiscal quarter ends.
Why Is Compliance Crucial?
Participating in the FDI Survey is not merely a bureaucratic obligation; it is a vital step in maintaining operational continuity and reinforcing your company’s transparency and commitment to regulatory best practices in Saudi Arabia. It contributes to the government’s broader goal of creating an investor-friendly ecosystem that supports Vision 2030 and fosters sustainable economic growth.
With a coordinated internal effort, proper documentation, and an organized approach, your business can navigate the FDI Survey without any disruptions to licensing or expansion plans.
How Helpline Group Can Assist?
With over 25 years of global business consulting experience, Helpline Group provides comprehensive support for FDI compliance in Saudi Arabia. We help by:
- Reviewing and organizing company documents for the FDI Survey.
- Assisting in data collection from internal departments and external auditors.
- Verifying shareholder equity and cross-border financial transaction records.
- Preparing and submitting the FDI Survey through the MISA portal.
- Providing ongoing compliance support for future reporting cycles.
We ensure that your filings are accurate, timely, and in compliance with the latest FDI reforms. Let Helpline Group be your trusted partner for FDI compliance in Saudi Arabia.
