Methodology and Quality Update

Latest Update on Methodology and Quality

20/07/2026

Statistical Presentation

Data description

The Foreign Direct Investment Survey presents data on foreign investment flows in the Kingdom of Saudi Arabia.
Foreign Direct Investment Survey is a survey conducted to collect data on the basic characteristics as follows:

• Total foreign flows (in flow and out flow).
• Net FDI flows.
• Charts and analytical reports
• Displays in tables.

Classifications

The following classifications are applied in Foreign Direct Investment Survey:
National Classification of Economic Activities (ISIC4):
It is a statistical classification based on the International Standard Industrial Classification of All Economic Activities (ISIC4).
This classification is used in the Foreign Direct Investment Survey to describe the production activities of an establishment. 
National Code of Countries and Nationalities (3166 ISO – codes Country):
A statistical classification based on the international standard  (ISO 3166_Country codes), which is a standard issued by the International Organization for Standardization (ISO of the UN), and this classification gives numeric and literal codes for the world’s (248) countries, based on the classification of countries.  
The classification in the Foreign Direct Investment Survey is used to categorize individuals into Saudis and non-Saudis.
Metadata is collected through interviews so that outputs can be produced in accordance with all relevant classifications.
The classifications are available on the GASTAT’s website  www.stats.gov.sa 

Statistical concepts and definitions

Key terms and concepts of Foreign Direct Investment Statistics

• Country:
  The enterprise's legal affiliation in terms of belonging to Saudi Arabia's economy.
• Enterprise:
  An institutional unit that works in the field of production. This definition includes investment funds and other entities that hold assets and incur liabilities on behalf of groups of owners, even if they engage in little or no productive activity. The enterprise may be a non-profit or unlimited individual enterprise.
• Investment:
  Expenditure on capital assets over a given period to achieve a net increase in the real capital stock of the Saudi economy. Investment may be undertaken by individuals or companies or financed by governments.
• Foreign Investment:
  Directing the savings of an economy in a specific geographical region toward the creation or acquisition of new real capital assets in the Kingdom’s economy or within a geographical region thereof.
• Foreign Direct Investment:
  An investment that reflects a long-term relationship and a lasting interest of economic entities resident in an economy other than the Saudi economy. This means that a foreign investor, either individually or as a group of foreign investors, owns 10% or more of the voting power of shareholders’ equity, enabling the investor to exercise a certain degree of control or influence over the decision-making process in a manner that serves its interests. Accordingly, this process is classified as foreign direct investment.
• Foreign Direct Investment Enterprises
  A project having a legal personality in which an investor residing in another economy owns 10% or more of the ordinary shares or the right to vote (management and decision-making). in relation to projects with legal personality, foreign direct investment projects include entities defined as subsidiaries, associates, or projects without legal personality that are wholly owned by the investor.
• Direct Investor:
  The foreign direct investor can be an individual, a company, a government, or a group of interconnected individuals or affiliated companies operating in a country other than the residence country of the foreign direct investor or the countries of foreign investors. This is contingent upon owning 10% or more of the common stock or voting power in that entity.
• Portfolio Investment:
  Investments in tradable debt or equity securities between resident entities in one economy and entities in another economy, where the ownership percentage is less than 10%.
• Other Investment:
  Foreign investments other than portfolio investments or foreign direct investments.
• Reverse Investment:
  Reverse investment happens when the direct investment enterprise lends money or acquires stocks directly in the same enterprise, without having an equity of 10% or more of the voting power with that direct investor. If the investment happens with more than 10% of equity, it becomes direct investment not a reverse one.
• Resident:
  Any individual, establishment, or organization located within Saudi Arabia that has the intention to reside therein for a period exceeding one year.
• Non-Resident:
  Any individual, establishment or organization residing outside Saudi Arabia and want to reside in that country for more than one year.
• Local Enterprise Group “LEG”:
  Local Enterprise Group (LEG) refers to an investor and the entities or legal affiliates under that investor that are resident in Saudi Arabia. Non-resident entities are excluded.
• Fellow Enterprises:
  Limited companies in which the foreign direct investor owns more than 50% of the voting shares and has the right to control the company’s decisions. Subsidiaries may be wholly owned when the foreign direct investor owns 100% of the shares (Wholly owned), or majority-owned when the direct investor owns more than 50% of the shares (Subsidiary). If the investor owns between 10% and 50% of the shares, the entity is not referred to as a subsidiary; rather, it is classified as an associate. The term “subsidiary or affiliate” is used to refer to all forms of these entities.
• Affiliates:
  Enterprises under the control of one foreign investor directly or indirectly. The affiliate does not have control or influence on another affiliate (which means it owns 10% of another affiliate's equity).
• Branch:
  A branch is wholly owned by a foreign direct investor. It is a registered establishment that has  a complete set of accounts and is able to aggregate an important set of accounts from an economic and legal perspective.
• Ultimate Controlling Parent „UCP “:
  It is the ultimate company in the ownership chain of the foreign direct investor. It owns sufficient voting shares in another company to control its management and operations by directly or indirectly influencing all entities in the chain, and it is not controlled by another investor.
• Voting Power
  The control measure in the company. In general, ordinary shares provide voting power when decisions are made on the basis of one share (one vote), but voting power may differ from the percentage of shares when there are, for example, "gold or excellent shares" or double classes of shares with different voting power weights.
• Financial Assets:
  Everything owned by the establishment and everything that represents a right of the establishment against others. Assets are classified according to their nature and the period of benefit derived by the establishment into fixed or non-current assets, which are any tangible assets owned by the establishment for the purpose of long-term use over the establishment’s lifespan. and current assets which represent the establishment's rights that are owned for a short-term utilization during the fiscal year.
• Liabilities:
  Any financial obligation of the establishment to others. If this right belongs to partners or shareholders and relates to capital, retained earnings, or reserves, it is referred to as equity. However, if this right relates to third parties or the partners’ credit current accounts, it is referred to as a liability. In this case, liabilities are classified according to the period required for settlement into two categories: 
  1.    long-term liabilities: which are the liabilities to be paid to others over more than one fiscal year such as long-term loans 
  2.    Short-term liabilities (or current liabilities): They are the liabilities that the establishment is required to settle within the financial year.
• Debt Instrument:
  Securities of a specified value that represent one of the investment pillars. A bond is typically a document stating that the bondholder is a creditor to the bond-issuing enterprise. Bonds are issued to raise a specific amount of funds that are not available to the enterprise, in order to support projects, acquire other enterprises, and for other purposes.
• Loans:
  Financial assets that are established when a creditor directly lends money to a debtor. They can be referred to using non-negotiable documents.
• Trade Credit and Advances:
  This includes credit provided directly by suppliers of goods and services to their customers, and advances to work being carried out (or to be entrusted), as well as advance payment by customers for goods and services not yet provided.
• Shareholder Equity:
  It consists of the enterprise's book value of paid capital (including stock installments) but excluding non-participating preferential shares that should be guaranteed with liabilities. It also includes cumulative withholding profits and all reserves, including revaluation. Shareholders' equity is also called the net value of the enterprise by subtracting total liabilities from total assets.
• Net Profit:
  Total income during the fiscal year minus all expenses after paying all taxes. It can be usually showed in the income list.
• Dividends:
  Dividends are the part of a company's profits that is paid out to the shareholders. They can be either cash payments or shares. In most cases, the dividends are paid seasonally, quarterly, or annually.
• FDI Inflows:  
  They involve financial transactions between a foreign direct investment entity, direct investors, and related companies outside the Saudi economy. These transactions take place over a specific timeframe. Inflows are characterized by their positive effect, manifesting as an increase in equity rights and/or debt instruments.
• FDI Outflow 
  They involve financial transactions between a foreign direct investment entity, direct investors, and related companies outside the Saudi economy. These transactions take place over a specific timeframe. Outflows are characterized by their impact in reducing liability aspects, such as through the payment of dividends, payment of loans, settlement of creditor dues, or when a direct foreign investor exits.

Data sources

First source: The primary source of data for the Foreign Direct Investment Statistics is the Foreign Direct Investment Survey.
Second source: Administrative records:

• Saudi Central Bank
• Insurance Authority (IA)
• Ministry of Investment
  The main published variables of the Foreign Direct Investment Survey data/publication are:
• Total foreign flows (in flow and out flow).
• Net FDI flows.

Designing the data collection tool

An electronic questionnaire was designed in CAPI format to ensure ease of use by field researchers, in CATI format to enable telephone communication with targeted respondents, and in CAWI format for computer-assisted online interviews. Data were collected using a questionnaire prepared and designed by specialists at GASTAT. During its design, international recommendations, standards, and definitions were taken into consideration. The questionnaire was also shared with relevant entities to obtain their feedback and comments. The questions were formulated in a clear and scientific manner to ensure a standardized approach to asking questions by researchers.
The questionnaire was programmed, and the tools necessary for conducting computer-assisted personal and telephone interviews (CAPI & CATI) were developed.
(CAWI &CAPI & CATI)
The Quarterly FDI Survey questionnaire consists of 8 sections, as follows:

• Contact details:
• Company Data
• Financial statement characteristics
• Shareholder Structure
• Equity
• Receivables from non-resident foreign shareholders and/or related foreign parties.
• Receivables due from non-resident foreign shareholders and/or related non-resident foreign parties.
• Attachments.
  Review and correction rules:
  Validation and consistency rules are incorporated into the questionnaire to ensure that the collected data is consistent, accurate, and logical. These rules were designed by establishing logical relationships between responses, questions, and different variables to help the field researcher detect any errors directly during data entry.
  To ensure the quality of the Quarterly FDI Survey data, three types of validation rules were established, as follows:
• Navigation rules between sections and fields:
  Special rules were programmed to regulate automatic navigation between sections and fields based on the respondent’s answers, totaling 38 rules.
• Error rules:
  These are rules that cannot be bypassed during the data entry process. Field researchers are required to correct the data by referring back to the respondent to verify its accuracy. The total number of these rules exceeds 35.
• Alert rules (warnings):
  These rules are designed to verify the correctness of the data entered by the researcher. The field researcher may override them if the data accuracy is confirmed, with a total of approximately 40 rules.
• Automated adjustment rules:
  These rules are applied for the automatic calculation of certain fields or automatic adjustment of responses in specific fields to align with some questionnaires, totaling approximately 6 rules.

Questionnaire test (cognitive test)

The outputs of the previous cognitive testing were relied upon, and there was no need to repeat the test this year. The interview sample consisted of a random sample of establishments, and the cognitive test was conducted on several questionnaire questions based on the cognitive testing pillars. Some observations were identified regarding the following pillars: the overall concept of the question, clarity of question wording, clarity of the terms used in the question, and the appropriateness of the response options, leading to the preparation of a report providing a comprehensive summary of the cognitive testing results.

Statistical population

The statistical community for the Foreign Direct Investment Survey consists of all foreign investment establishments licensed by the Ministry of Commerce in the Kingdom of Saudi Arabia, where foreign investors hold a voting power of 10% or more of the capital or for a group of investors who have a relationship with them.

Sample Design

The sample was designed with a two-stage stratified cluster systematic random sampling method, in which in the first stage a random sample was selected from the primary sampling units (counting areas) for each stratum of the adopted sampling design.
Stratification:
To increase the efficiency of the sample and improve its representation of the target population, establishments in the sampling frame were classified into homogeneous strata. To obtain more accurate results compared to the simple random sampling method of the same size, and to ensure a sufficient number of establishments at publishable levels, a two-level stratification approach was applied as follows:  
1.    Stratification at the 2-digit level of economic activity (ISIC4).
2.    Stratification by establishment size categories, which are:
1.    Micro enterprises: Establishments with 1 to 5 employees.
2.    Small enterprises: Establishments with 6 to 49 employees.
3.    Medium enterprises: Establishments with 50 to 249 employees.
1.    Large enterprises: Establishments with more than 249 employees.
Sample size:
h The sample size was calculated at the level of each stratum, representing the field of study (economic activity at the first level — section — of the International Standard Industrial Classification of All Economic Activities, ISIC4).
Subsequently, the resulting sample size for each study domain was allocated across establishment size classes and economic activities at the two-digit level of the International Standard Industrial Classification of All Economic Activities (ISIC4), using the Probability Proportional to Size (PPS) allocation method. This allocation method reduces the variation in sampling weights, thereby reducing the variance of estimates and improving the efficiency of the design. The sample size was also controlled at the study domain level by setting an acceptable minimum number of establishments to obtain a sufficient response size for publishing accurate estimates of indicators at the publication level (economic activity at the first level (section) of the International Standard Industrial Classification of All Economic Activities (ISIC4)). In addition, all large and medium-sized establishments were included in the sample with a 100% probability due to their importance.

The calculations outlined above resulted in a total sample size of (6,594) establishments, distributed as shown in the tables below:
Table 1: Distribution of the quarterly survey sample at the section level (ISIC4, ISIC-1).
 

Statistical unit

The statistical unit in Foreign Direct Investment Survey is the establishment.

Data collection

Survey data collection:
Foreign direct investment survey data is collected through:

• Computer-assisted Web Interviews (CAWI).
• Computer-assisted Telephone Interviews (CATI).
• Computer-assisted Personal Interview (CAPI).

The data are stored in GASTAT's databases after undergoing validation and review processes in accordance with approved statistical methods and recognized quality standards. The data source is consulted in the event that errors are detected or observations are identified in the data.

Data collection frequency 

The data collection process for the Foreign Direct Investment Survey is conducted on a quarterly basis.

Reference area

The Foreign Direct Investment (FDI) Survey covers all 13 administrative regions of the Kingdom of Saudi Arabia

Reference period (time reference)

The data of the Foreign Direct Investment (FDI) Survey are referenced to the quarter immediately preceding the survey implementation. The survey questionnaire is administered four times annually within 45 days from the end date of the reference quarter. The electronic survey is made available for data completion annually, as follows:

• During the month of April (for data completion regarding the first quarter of the fiscal year).
• During the month of July (for data completion regarding the second quarter of the fiscal year).
• During the month of October (for data completion regarding the third quarter of the fiscal year).
• During the month of January (for data completion regarding the last quarter of the fiscal year).

Base period

Not applicable, as it does not rely on index numbers or the calculation of relative changes compared with a base year. Instead, it aims to provide data and indicators related to foreign direct investment on a regular basis to measure changes over a specified reference period, without comparison with a fixed base period.

Measurement unit

Most of the results are numerical values and the input category is in thousands of riyals (e.g., Net FDI flows in thousands).

Time coverage

Data are available from the first quarter of 2023 up to the current quarter of 2026.

Publication frequency

The results of the Foreign Direct Investment Survey are published on a quarterly basis in accordance with the approved statistical plan.

Statistical processing

 Error detection

Data are reviewed and matched to ensure their accuracy and precision in a way that suits their nature with the aim of giving the presented statistics quality and accuracy. An example of this is the use of the IQR methodology (interquartile range), which is an internationally applied and widely practiced method for identifying outliers.

Data integration and matching from multiple sources 

Data from multiple sources were integrated and matched using two main sources to produce Foreign Direct Investment Statistics, with the aim of achieving data integration and enhancing their accuracy and comprehensiveness. This is carried out by utilizing administrative records from the Ministry of Investment, the Insurance Authority, and the Saudi Central Bank, and linking them with the statistical data from the Foreign Direct Investment Survey conducted by GASTAT. These data are processed in an integrated manner to ensure the completeness and accuracy of the statistical outputs and the financial data available from establishments.

Imputation and calibration

The imputation method used for Foreign Direct Investment Statistics, whether for establishments with complete non-response or missing data for specific variables. Re-interviews are allowed to obtain missing data from respondents or to address cases of non-response. Subsequently, missing data or non-response are addressed by evaluating them to follow a scientific methodology for estimating results, taking into account several considerations, including historical data series, an acceptable range of missing data, and estimates based on stratum-level data.
Method for Calculating Variables
 

Weighting:
The base sampling weights are calculated based on the strata used in the sample design and allocation. The probability of selection for an establishment in stratum h is P
h Accordingly, the base weight for a selected establishment in the sample is calculated as follows

Non-response weight adjustment:
Weight adjustment to compensate for non-response or missing data to ensure proper representation of the sample. This adjustment is made after data collection and processing, once response statuses are known, according to the following equation:

represents the non-response–adjusted weight in stratum (or adjustment class) 
. The adjustment (or correction) factor for each stratum (or adjustment class) is calculated as follows:      

 Where R represents the responses and NR represents the non-responses.

Seasonal adjustments

Not applicable, only final results will be published. 

Adjustment of preliminary results 

The data are initially released as preliminary estimates and are subsequently subject to revision and updating.

Resources used

Quality dimensions

Suitability

A criterion that measures the extent to which the statistical product meets users' needs.

User needs 

Some several external users and beneficiaries greatly benefit from the Foreign Direct Investment statistics, including:

• Government entities.
• Regional and international organizations.
• Research institutions.
• Media.
• Individuals.
  Key variables utilized by external users:

Completeness 

Foreign Direct Investment Survey is based on several primary sources, which are: (CATI, CAWI, and CAPI), foreign licenses from the Ministry of Investment, and Gulf companies from the Ministry of Commerce) in order to provide comprehensive information on Foreign Direct Investment (FDI) indicators. Accordingly, the data are complete.

Accuracy and reliability 

A criterion that indicates the extent to which calculations or estimates are close to the true values and accurately reflect reality.

Overall accuracy 

• Data quality is enhanced through the selection of researchers based on a set of practical and objective criteria related to the nature of the work, as well as their qualification and training.
• Alert, prevention, and correction rules are applied during the data collection process on the electronic questionnaire for the Foreign Direct Investment Survey to improve data quality.
• The data is examined against previous years to identify any significant changes.
• The internal consistency of the data is checked before it is finalized.
• The links between variables are checked and coherence between different data series is confirmed.

Timeliness and punctuality 

Timeliness A standard that indicates the length of time between the availability of information and the occurrence of the event.
Punctuality It reflects the time lag between the data publication date and the target date when publication actually occurs.

Timeliness 

GASTAT uses the Special Data Dissemination Standard (SDDS) issued by the International Monetary Fund. According to this Standard, all statistics agencies are required to publish data on a quarterly basis, and with a delay of not more than mid of year (90 days) after the end of the reference period. If the data are from different sources, they may be published in a different frequency.

Punctuality 

The publication takes place according to the published release dates on the statistical calendar for Foreign Direct Investment Statistics survey on the website of GASTAT 
The data are available at the expected time, as scheduled in the statistical release calendar, If the publication is delayed, reasons shall be provided.

Coherence and comparability

A standard that refers to the necessity of internal and temporal consistency of statistics, their logical coherence, and their comparability and integration across different regions and sources.

Comparability - geographical

The statistical data related to the Foreign Direct Investment Statistics are fully comparable geographically within Saudi Arabia, as well as at the regional and international levels.

Comparability - over time 

Quarterly Foreign Direct Investment statistics were first published in 2023. This survey is conducted quarterly and is comparable with previous quarters.

Coherence- Cross domain

The data are consistent, as their consistency is verified against all other statistics, such as National Accounts Statistics, which contain similar indicators. These procedures contribute to ensuring integration and coherence among statistics, thereby enhancing data reliability and the quality of the analyses based on them, and ensuring that the results are free from any unjustified inconsistencies.

Coherence- Sub-annual and annual statistics

 There is methodological consistency between the annual and quarterly Foreign Direct Investment Statistics to ensure that the quarterly data are aligned with the annual results. 

Coherence- National Accounts 

Not applicable, as the indicators of the Foreign Direct Investment survey are not directly linked to national accounts or their inputs. 

Coherence- Internal 

The Foreign Direct Investment Survey estimates for the reference period have full internal coherence, as they are all based on the same set of accurate microdata and are calculated using the same estimation methods.

Accessibility and clarity

Users' access to data, the availability of microdata or aggregated data, and the availability of the Methodology and Quality Report.

News

The announcements for each publication are available on the statistical calendar as mentioned in 10.1. The news can be viewed on the website of GASTAT on the link: 
News

Publications

GASTAT issues Foreign Direct Investment Survey on a regular basis within a pre-prepared dissemination plan and is published on GASTAT’s website.  GASTAT is keen to publish its results in a manner that serves all types of users, including publications in various formats containing dissemination tables, data and indicator charts, the Methodology and Quality Report, and the questionnaires used, in both Arabic and English.
The results of the Foreign Direct Investment Survey are available at:
Foreign Direct Investment (FDI) 

Online database

The data is published on the statistical database:
Statistical database.

Microdata accessibility

Accurate data is unit-level disaggregated data obtained from multiple sources such as sample statistical surveys, general population and housing censuses, and administrative systems, providing detailed information about the characteristics of individuals, families, business entities, and geographical areas, supporting the construction and development of statistical indicators and scientific research.
Different types of microdata files are available to meet diverse information needs.

• Public use: 
  ‌‌It consists of sets of records containing information on individuals, households, or business entities anonymized in such a way that the respondent cannot be identified either directly, such as by name, address, contact number, identity number, etc., or indirectly (by combining different – especially rare – characteristics of respondents), such as age, occupation, education, etc.
• Scientific use:
  These files are created using defined methodologies in response to data requests to produce datasets with specific characteristics. They are intended for strategic studies, decision-making, and scientific research involving individuals, households, and businesses. The datasets are anonymized to ensure they contain no direct identifiers and are subject to confidentiality protection controls.
  Qualified users who meet the standards and procedures of confidentiality protection can access the files of scientific use of accurate data through the platform "ITAHA" of the General Authority for Statistics, while the most sensitive data for use is shared by visiting the accurate data laboratory within a secure environment managed by the Authority.

References and standards

Data are classified according to several classifications:

• National Classification for the Economic Activities (SSIC)
  https://www.stats.gov.sa/classifications
• National Code of Countries and Nationalities (3166 ISO – codes Country):
  https://www.stats.gov.sa/documents/d/guest/saudi-classification-of-countries-and-nationalities-nccn-2017-ar-pdf-1

The researcher’s manual includes the relevant concepts, definitions, and instructions for completing the questionnaire, serving as a reference for field researchers throughout the data collection process
In addition, the data are classified in accordance with the International Monetary Fund (IMF) standards and methodology, as set out in the Balance of Payments and International Investment Position Manual, Sixth Edition (BPM6) and the Coordinated Direct Investment Survey (CDIS) Guide.
https://www.imf.org/external/pubs/ft/bop/2007/pdf/bpm6.pdf 

Quality assurance

GASTAT is committed to observing the following principles: Impartiality, a user-oriented statistical product, quality of processes and outputs, effectiveness of statistical processes, and reduced respondent burden. 
Data are validated through quality assurance procedures and controls implemented at different stages of the statistical process, such as data entry, data collection, and other final controls.

Quality assessment

GASTAT carries out all statistical activities in accordance with the National Model (Generic Statistical Business Process Model (GSBPM)). During the comprehensive evaluation phase, which is the final phase of the Generic Statistical Business Process Model (GSBPM), the information collected throughout each phase and sub-process is used to prepare an evaluation report summarizing all quality-related challenges associated with each statistical process. The report serves as an input for improvement and development actions.

Confidentiality

Confidentiality - Policy

According to Royal Decree No. 23 dated 07/12/1379, data must always be kept confidential and must be used by GASTAT for statistical purposes only.
Therefore, the data is protected in the data servers of GASTAT.

Confidentiality - Data Treatment

Data of SMEs survey are presented in right tables in order to summarize, understand, as well as extract their results. Moreover, to compare them with other data, and to obtain statistical significance about the selected study population. However, referring to such data indicated in tables is much easier than going back to check the original questionnaire that may include some data like: names and addresses of individuals, and names of data providers, which violates data confidentiality of statistical data.
“Anonymity of data” is one of the most important procedures. To keep data confidential,

GASTAT removed information on individual persons, households, or business entities in such a way that the respondent cannot be identified either directly, such as by name, address, contact number, identity number, etc., or indirectly by combining different, especially rare, characteristics of respondents, such as age, occupation, education, etc.

Dissemination policy

Statistical calendar

The Foreign Direct Investment (FDI) Survey has been included in the statistical calendar.
Statistical Calendar

User accessibility

One of GASTAT’s objectives is to meet its clients' needs, so it immediately provides them with the publication's results once the Foreign Direct Investment SuPublication is published.
GASTAT also receives clients' questions and inquiries regarding the publication and its results through various communication channels, including:

• GASTAT’s official website: www.stats.gov.sa
• GASTAT's official email address:  info@stats.gov.sa
• Official visits to GASTAT’s official head office in Riyadh or one of its branches in Saudi Arabia.
• Official letters.
• Statistical telephone: (199009).