Visa is reorganizing its operations in the Middle East, implementing a dual-hub structure with offices in Dubai and Riyadh. This change reflects the influence of Saudi Arabia’s regional headquarters policy, which mandates that multinational companies establish local offices to qualify for government contracts.
Under the new structure, Visa’s Dubai office will oversee operations in the UAE, Kuwait, and Qatar, while the Riyadh office will manage its activities in Saudi Arabia, Bahrain, and Oman. This approach allows Visa to retain its presence in Dubai while expanding its operational base in Riyadh, aligning with the government’s new requirements.
Since the implementation of the headquarters policy in 2024, over 700 multinational corporations have established regional offices in Saudi Arabia. This initiative is part of the country’s broader economic diversification strategy under Vision 2030, aimed at transforming its oil-dependent economy into a diversified global business hub.
The policy encourages foreign firms to base their operations in Saudi Arabia to participate in government contracts and economic programs. Visa’s split operations are intended to balance compliance with regional demands while leveraging Dubai’s established business environment.
Saudi Arabia has been actively shifting its economic policies, including easing labor regulations to attract skilled professionals and expatriates. Visa’s restructuring aligns with these broader regional trends, as other global banks also relocate senior headquarters to Riyadh.
The foundation of Visa’s decision underscores the increasing competition among Gulf states for foreign investment and talent. While Dubai continues to be a key market for many multinational firms, the rise of Riyadh as a significant business hub signals a transformative shift in corporate strategy across the region.
Overall, Visa’s reorganization exemplifies how businesses must adapt to evolving regulatory landscapes while balancing market access and operational efficiency in a rapidly changing economic environment.
Source: Reported based on publicly available information from timesofindia.indiatimes.com.
