KSA Pavilion at IDEX 2021: 70 Licensed Defense Companies in Saudi Arabia with Investments amounting to 24 Billion SAR

Abu Dhabi, 23 February 2021

The KSA Pavilion Media Center at IDEX 2021, which was led by the General Authority for Military Industries (GAMI), revealed that the number of local and international defense companies licensed in Saudi Arabia increased to 70 as at the end of 2020, with an estimated investment volume of SAR 24 billion.

As per GAMI, a total of 114 licenses were issued to those local and international companies as at the end of 2020. The breakdown of these licenses is as follows: Manufacturing: 57%, , Services: 25% and Trade: 18%. As for the breakdown of the companies: 81% are local, while foreign and mixed ownership companies accounted for only 19%.

GAMI reaffirmed its commitment to empowering investors and facilitating their entry into the Sector, such that they form part of the national strategy to improve localization of expenditure on military equipment and services to more than 50% by 2030.

GAMI also touched on the electronic portal for military industrial licensing www.licensing.gami.gov.sa, which allows investors to be issued Establishment Permits (EPs) and  licenses across six activities: Equipment, Services, Electronics, Electronic services, Munitions, and Explosives.

Worth noting is that GAMI is Authority tasked with regulating, enabling and licensing KSA’s Defense Sector Its mandate comprises developing a sustainable Defense Sector that enhances its strategic autonomy, reinforces its national security, and fuels its economic and social prosperity.

GAMI also plays a leading role in consolidating demand across the Sector’s End Users in service of the Sector’s needs,, building partnerships with relevant entities to align educational and vocational training outcomes with the Sector’s needs, developing indigenous R&D capabilities, and enhancing local competencies in the Sector.