Saudi Arabia has formally outlined the criteria under which non-Saudi nationals may be appointed to general manager positions, providing greater clarity to companies operating in the Kingdom as it continues to reform its labour market and attract foreign investment.

The Ministry of Human Resources and Social Development said the policy is designed to support economic growth while preserving the central objective of workforce localisation under Vision 2030. According to the clarified framework, the appointment of non-Saudi general managers is permitted when suitably qualified Saudi candidates are unavailable, or when specific technical expertise, international experience or strategic capabilities are required that cannot be sourced locally.

Companies must demonstrate a clear business need and comply with Saudisation requirements across their wider workforce.

The ministry emphasised that foreign appointments are not automatic and remain subject to regulatory approval, with firms expected to implement succession planning and training programmes to develop Saudi talent over time.

Authorities also highlighted that the policy applies across sectors, including multinational companies and large domestic enterprises, and is intended to enhance competitiveness without undermining employment opportunities for Saudi nationals.

The clarification comes amid sustained efforts by the Saudi government to modernise labour regulations, increase private-sector participation, and position the Kingdom as a global business hub, while ensuring that economic transformation delivers long-term benefits for Saudi citizens.