Saudi Arabia Ranks 3rd Globally in Creation of Firms

Saudi Arabia Ranks Third Globally for Creation of New Firms in IMD 2026

Saudi Arabia has been ranked third in the world on the "Creation of Firms" indicator in the IMD World Competitiveness Yearbook 2026, a reflection of streamlined startup procedures, reduced requirements and expanded automation of business registration processes. The Kingdom also advanced to fourth place on the "Equal Opportunity" indicator and to seventh on the "Large Corporations" indicator, while placing 13th overall in the IMD index and third among G20 countries.

"Energy realism," said Yasir Al‑Rumayyan, Public Investment Fund governor and chairman of Saudi Aramco, a phrase he used in broader remarks at a recent international summit about balancing new energy sources with continued reliance on oil and gas.

The Ministry of Commerce attributed the improvements to concerted efforts to reform the legislative and procedural ecosystem that empowers the private sector, carried out in partnership with public and private stakeholders. The report highlights accelerated business start‑up processes through fewer requirements and more automated procedures that have made it easier to establish firms across the Kingdom.

• Creation of Firms: ranked 3rd globally
• Equal Opportunity: advanced to 4th globally
• Large Corporations: advanced to 7th globally
• Overall IMD ranking: 13th worldwide and 3rd among G20 nations

Beyond competitiveness metrics tied directly to entrepreneurship, Saudi officials and business leaders presented complementary data at international forums. Yasir Al‑Rumayyan said the Public Investment Fund (PIF) is preparing roughly 140 new investment opportunities for European partners valued at 10.4 billion euros through 2030, pointing to an active push to deepen cross‑border capital flows. He also said PIF‑linked investments have supported European GDP by $80.6 billion and helped create 160,000 jobs.

Al‑Rumayyan highlighted operational resilience at Saudi Aramco, noting the company "maintained continuity in more than 99% of its operations during recent periods of tension" and that facilities damaged by missile attacks were restarted in record time. Those remarks were framed alongside calls to address regulatory and legal challenges that have constrained Saudi investments in Europe and affected major firms including Aramco and SABIC.

The IMD findings dovetail with Saudi policy priorities to simplify doing business and strengthen large enterprises' competitiveness. Advancement in the "Large Corporations" indicator to seventh place signals improved efficiency and productivity among major Saudi firms, enabling them to better compete with global peers.

Outlook: Policymakers appear poised to build on the momentum by continuing regulatory reform and cross‑sector partnerships. The Ministry of Commerce’s stated focus on legislative and procedural development, combined with PIF's planned investment pipeline in Europe, suggests a two‑track approach: make it easier to found and scale companies domestically while expanding international commercial ties. If reforms continue and barriers to foreign investment are addressed, Saudi Arabia could consolidate its high rankings in firm creation and further improve its standing across the IMD pillars measuring economic performance, government efficiency, business efficiency and infrastructure.