As Saudi Arabia advances its economic transformation under Vision 2030, young entrepreneurs are playing an increasingly vital role in shaping the Kingdom’s future. Government reforms, strategic investments, and educational initiatives are empowering a new generation to lead in high-growth sectors, marking a shift toward a more diversified, knowledge-based economy.

According to the Ministry of Commerce, youth-owned businesses now make up 38% of all active commercial registrations in the Kingdom as of the second quarter of this year. Among the 474,000 enterprises led by young Saudis, app development emerged as the fastest-growing sector, recording 28% annual growth and 18,780 commercial permits. The artificial intelligence industry followed closely, with a 34% increase, reaching 14,409 registrations.

The e-gaming sector also showed strong momentum, growing by 32% to reach 8,260 permits. Film, video, and TV production saw a 20% increase, with 5,752 new registrations recorded by mid-2025.

With 62.8% of Saudi Arabia’s population under the age of 30, the government is actively partnering with private sector leaders to develop youth capabilities in key sectors such as AI, tourism, and renewable energy. Companies like PwC, NEOM, Aramco, and Red Sea Global are collaborating on training initiatives to equip young Saudis with practical, hands-on experience.

Programs such as PwC’s Hemam, Red Sea Global’s leadership development initiatives, and various vocational schemes aim to bridge the gap between education and market needs. Innovation hubs like The Garage are also playing a critical role in nurturing startups and fostering an entrepreneurial ecosystem.

Still, aligning academic outcomes with labor market needs remains a challenge. PwC’s Riyadh Al-Najjar emphasized that fostering an “entrepreneurial mindset” is essential for private sector growth, while Red Sea Global’s Zehar Filemban highlighted the importance of adaptability in an increasingly dynamic job market.

To support this vision, the government continues investing in Saudization efforts, vocational training, and incentive programs to attract and retain skilled professionals.