Citigroup Opens Riyadh Regional HQ as Wall Street Giants Deepen Saudi Ties

Citigroup has officially opened its regional headquarters in Riyadh, Saudi Arabia, becoming the latest Wall Street firm to establish a physical presence in the kingdom to compete for access to government contracts and the $1 trillion sovereign wealth fund, the Public Investment Fund. The bank chose Kingdom Tower, one of Riyadh's most iconic skyscrapers, over the King Abdullah Financial District, signaling a strategic alignment with Saudi Arabia's economic transformation under Vision 2030.

The new office will direct operations and strategy across the Middle East and North Africa, though Citigroup has not disclosed specific staffing numbers. "Establishing a regional headquarters here in Riyadh reflects both our confidence in the kingdom's momentum and our commitment to being close to the clients driving that change," said CEO Jane Fraser. This move comes just days before Fraser is set to speak at the Future Investment Initiative (FII), an annual investor forum often dubbed "Davos in the Desert," which will also feature leaders from JPMorgan Chase and Goldman Sachs.

Citigroup's expansion follows similar steps by other major banks; JPMorgan recently obtained its regional HQ license, while Morgan Stanley and BlackRock have already secured approvals. Saudi regulations mandate that foreign companies must have a local headquarters to qualify for government contracts, including those linked to the influential Public Investment Fund. Over 500 companies have adapted to these rules, benefiting from tax exemptions and streamlined contract access, as part of Saudi Arabia's push to diversify its economy away from oil dependence.

This development is rooted in broader geopolitical and economic shifts, including the long-standing U.S.-Saudi partnership formalized in 1951, which has evolved through periods of cooperation and tension. However, the news specifically highlights that digital assets and cryptocurrency markets are not directly affected by these banking expansions, with traditional financial services and investment banking expected to see the primary benefits.