The Saudi Arabian economic landscape is undergoing a significant transformation, and a recent survey conducted by Okaz newspaper reveals a particularly striking trend: a surge in female entrepreneurship. By the end of the third quarter of 2025, the number of commercial establishments owned by women in the Kingdom reached a remarkable 729,269, representing a substantial 42.29% increase compared to the same period in 2023. This growth isn’t just a number; it’s a clear indicator of the evolving economic role of women in Saudi Arabia and the success of national initiatives designed to empower them. This article delves into the details of this impressive rise in female entrepreneurship in Saudi Arabia, exploring the contributing factors, sectorial distribution, and the government’s role in fostering this dynamic shift.
A Dramatic Increase in Female-Owned Businesses
The Okaz report highlights the sheer scale of this expansion. Women now own 43.36% of all commercial establishments in the Kingdom, totaling 729,269 businesses out of a national total of 1,681,723. This demonstrates a significant shift in the ownership structure of the Saudi economy. Over just two years, women have established 216,739 new businesses – an average of nearly 297 per day. This consistent and rapid growth underscores the ambition and increasing economic agency of Saudi women. The data clearly shows that women’s economic participation is not just increasing, but accelerating.
Growth Across All Business Sizes
The increase in female-owned businesses isn’t limited to a specific size category. The report shows growth across all scales: micro, small, medium, and large enterprises. Specifically, 575 large enterprises are now owned by women, a 151% increase from the 229 recorded in 2023.
Breakdown by Enterprise Size
- Large Enterprises: A jump to 575 establishments, requiring 250+ employees or exceeding 200 million Riyals in revenue.
- Medium Enterprises: Reached 4,264, an increase of 148.05%, employing 50-249 individuals or generating 40-200 million Riyals in revenue.
- Small Enterprises: Totaled 42,232, a 26.77% rise, with 6-49 employees or 3-40 million Riyals in revenue.
- Micro Enterprises: The most popular choice, reaching 682,198, employing 5 or fewer individuals and generating up to 3 million Riyals in revenue. These accounted for 204,930 new establishments in two years, averaging 281 openings daily.
This broad-based growth signifies that women are not only entering the entrepreneurial arena but are also scaling their businesses and contributing to job creation across the spectrum.
Sectoral Distribution: Where are Women Investing?
The Okaz report reveals a diverse range of investments by women across 88 different economic activities. However, certain sectors are witnessing particularly strong female engagement. Construction, retail, and services are leading the way, attracting the largest number of female investors.
Specifically, the following sectors stand out:
- Construction: 115,371 female-owned businesses.
- Retail Trade (excluding motor vehicles and motorcycles): 96,205 female-owned businesses.
- Food and Beverage Services: 58,571 female-owned businesses.
- Other Personal Services: 40,246 female-owned businesses.
- Specialized Construction Activities: 38,298 female-owned businesses.
While these sectors are dominant, the increasing presence of women in areas like education and storage/transport support services is also noteworthy. Conversely, sectors like insurance and household employment show significantly lower levels of female investment.
Government Support and Vision 2030
This remarkable growth in female entrepreneurship is directly linked to the ambitious Vision 2030 plan and the concerted efforts of the Saudi government, led by the Custodian of the Two Holy Mosques King Salman bin Abdulaziz and His Royal Highness Prince Mohammed bin Salman. The focus on empowering women and creating a stimulating investment environment has been pivotal.
The government has implemented several key initiatives:
- Streamlined Business Registration: The ability to register, renew, or modify commercial registrations in just 180 seconds without visiting government offices.
- Financial Incentives: Exemption from financial contributions for a limited number of employees in small and micro-enterprises.
- Industrial Support: Elimination of labor fees in factories to encourage industrial growth.
- Startup Refund Program: Reimbursement of government fees for startups, covering costs like registration, licenses, and subscriptions.
- Nationalization Support: Financial support for employing Saudi graduates through the “Tamheer” program.
- Equal Treatment: Ensuring equal treatment for local and foreign investors, regardless of gender or nationality.
These measures, coupled with a strong partnership between the public and private sectors, are creating a fertile ground for female entrepreneurs to thrive. Saudi Arabia’s membership in the G20 further emphasizes the strategic coordination between these sectors to achieve sustainable development.
Regional Variations in Female Entrepreneurship
The Okaz report also highlights regional differences in the types of businesses women are establishing. For example, construction is the dominant sector in regions like Riyadh, Eastern Province, Northern Borders, Qassim, Hail, and Najran. However, retail trade (excluding motor vehicles and motorcycles) is the leading activity for women in the regions of Al-Baha, Al-Jawf, Medina, Tabuk, Jazan, Asir, and Makkah Al-Mukarramah. This regional diversity demonstrates the adaptability and responsiveness of female entrepreneurs to local market conditions.
In conclusion, the surge in female entrepreneurship in Saudi Arabia is a powerful testament to the success of Vision 2030 and the government’s commitment to empowering women. The growth is broad-based, spanning all business sizes and a diverse range of sectors. With continued support and investment, Saudi women are poised to play an even more significant role in shaping the Kingdom’s economic future. This trend is not just a positive development for Saudi Arabia, but a global example of how empowering women can unlock economic potential and drive sustainable growth. Further research into the challenges and opportunities facing female entrepreneurs will be crucial to sustaining this momentum and ensuring their continued success.
