Safe Investments in Saudi Arabia Today, as we live in a world of major economic transformations taking place in the Kingdom of Saudi Arabia under Vision 2030, many investors are seeking safe investment options that help reduce risks while ensuring stable returns.

Safe investments focus on low-volatility assets such as bank deposits, government bonds, and Islamic sukuk, compared to high-risk stocks.

The Saudi economy enjoys a strong credit rating, which makes investments in the Kingdom more secure compared to other emerging markets.

In this article, we will explore the most prominent safe investment options, the importance of advisory services in such investments, and key tips for diversification and protection.

Types of Safe Investments

Safe Investments in Saudi Arabia Rely on Diversification, Including

1. Government Bonds and Sukuk

They are investment instruments based on ownership of real assets instead of interest.
Sukuk are compliant with Islamic Sharia.
The Saudi market has witnessed significant growth in sukuk, especially government-issued ones and those from sovereign funds such as the Public Investment Fund.
Islamic sukuk issued by the Saudi Ministry of Finance offer a fixed annual return of 4–6%.
Sukuk are considered low-risk because they are backed by the government.
They can be purchased through platforms such as Tadawul Saudi or local banks, and they are a safe option for long-term investment.

2. Real Estate Investment

Real estate in Saudi Arabia, especially in major cities such as Riyadh or Jeddah, provides stable returns.
Returns depend on property rentals or purchasing real estate for rental purposes.
With government support for the housing sector, returns can reach 6–10% annually.
Although real estate is considered medium-risk, investing in major government-backed projects is viewed as safe due to strong public support.
Risk levels are moderate, with price drops of about 3.7% at certain periods, but major projects remain stable.

3. Bank Deposits and Savings Accounts

Bank deposits in Saudi banks are considered safe as they are covered by the Deposit Insurance System.
They offer easy withdrawal, making them ideal for those who prefer continuous liquidity.
Islamic banks offer savings accounts based on the principle of Mudaraba instead of interest, making them a safe option for preserving savings.
Risk levels are very low because these deposits are supported by a strong banking system and regulated by the Saudi Central Bank.
Returns depend on shared profits and are often higher than traditional savings accounts in other countries.

4. Balanced Investment Funds

These are investment funds managed by specialized companies and focus on a mix of stocks and bonds.
Combining stocks and bonds helps reduce potential risks.
Return rates range between 5–8% annually.
They are suitable for individuals who want diversification without being exposed to high market volatility.

Benefits of Safe Investments

1- Strong Regulation All investments are subject to the Capital Market Authority and the Central Bank.

2- Tax Exemptions There is no personal income tax, with low taxes on distributions ranging from 5-20% on distributions.

3- Economic Stability The risk rate is gradually decreasing, according to economic reports, and growth rates are expected to increase by 2026 despite oil-related challenges.

General Advice and Risks

Despite the safety of investments, they may be affected by oil fluctuations or geopolitical events. Therefore, we always advise working on diversifying investments. Always ensure to consult your financial advisor or seek assistance from companies that provide financial services, and adhere to international and local laws

Conclusion

In the end, it must be recognized that the Kingdom is working to provide an ideal environment for safe investments in 2025, supported by Vision 2030, which encourages attracting foreign investments.

Whether you are seeking stable returns from sukuk or savings accounts, the options are diverse and backed by a strong financial system.

For financial consultations, you can contact Al Awwal Capital, your financial advisor, through which you can begin your own investment.