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Tier 3 · Riyadh

Cloud Computing SEZ

Cloud Computing Special Economic Zone

Riyadh · Est. 2023 · Same, plus: per the Jan-2026 regulatory framework (Official Gazette, Cabinet/Ministerial Resolution 468), the authority concerned for the Cloud Computing SEZ is CST in coordination with the Royal Commission for Riyadh City (RCRC).

AED 80,000/ yr
high confidenceVerified 18 Jul 2026official ↗
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Best for

Hyperscale cloud service providers, data-centre operators and AI-infrastructure companies that need Saudi data-sovereignty-compliant infrastructure and direct alignment with CST to serve government and regulated-sector clients.

Not ideal for

SaaS/services companies without data-localisation needs, SMEs seeking cheap fast setup with transparent package pricing, and any non-digital business — a mainland Saudi LLC (or a UAE free zone for regional holding purposes) is a better fit.

01Capability profile
?
Banking10/15
?
Visa scale15/15
?
Cost (lower=better)0/20
?
Activity breadth8/25
?
Workspace options9/15
?
Location6/10
02Where Cloud Computing SEZ sits
Year 1 cost← lower is better

Cloud Computing SEZ: 1th percentile (AED 80,000) · Licence + registration, AED.

Setup time← lower is better

Cloud Computing SEZ: 3th percentile (56 days) · Total estimated days from application to operational.

Visa caphigher is better →

Cloud Computing SEZ: 73th percentile (150 visas) · Absolute maximum visa allocation. Values above 500 clipped to the right edge so the bulk of the distribution stays readable.

Banking ease← better
Easy
4
Moderate
73
Difficult
15
Very difficult
1

Cloud Computing SEZ: Moderate · Corporate bank account opening difficulty. Each cell is one zone.

03Costs
80,000
Year 1 minimum · AED
budget tier
Show in
Base licence
AED 80,000
2-year visa cost
AED 3,200
Year-on-year fee tracking begins 2026 — changes appear here as they accrue.
Indicative, from published ratesOfficial fee schedule ↗Verified 2026-07high confidence

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04Visas & workspace
Visa allocation
Maximum visas
150
Flexi-desk cap
2
Office cap
6
Family sponsorship
Available
Freelancer permit
Not available
Medical required
Yes
Processing time
~15 days
Workspace options
Virtual office
Yes
Flexi-desk
Yes
Coworking
Yes
Dedicated office
Yes
Executive office
Yes
Warehouse
No
Industrial unit
No
Land plot
No
Ejari issued
No
Parking
Yes
05Banking & setup
Banking
Difficulty
Moderate
Time to account
~14 days
Minimum deposit
AED 25,000
Corp tax rate
5%
Audit cost (est)
AED 15,000
UBO filing
Required
AML / KYC
standard (SAMA-regulated banking; Saudi Arabia is a full FATF member since 2019)
Partner banks
Saudi National Bank (SNB)Al Rajhi BankRiyad BankAlinma BankSAB (Saudi Awwal Bank)
Neo-bank options
STC Bank (digital bank)D360 Bank (digital bank)traditional-bank digital onboarding remains the norm for foreign corporates
Setup timeline
  1. Registration mode
    Fully online — no in-person visit required
  2. Documents & application
    Passport, visa, business plan — ~3–5 days
  3. Licence issued
    ~28 business days after submission
  4. Bank account active
    Additional ~14 days · Moderate banking
  5. Operational
    Typically ~56 days, up to ~180 days
06Permitted activities
not_found — ECZA/CST publish no official activity list or count for the zone; license scope is activity-specific. activities

Provision of cloud services from the zone with data centres located anywhere in the Kingdom

Hyperscale data-centre build-out at subsidised power rates

Serving regulated sectors (government, fintech, health-tech) under Saudi data-sovereignty rules

Categories
Cloud computing services (IaaS/PaaS/SaaS)Data centre operationsCybersecurity servicesAI, machine learning & data analyticsManaged IT servicesSoftware developmentDigital transformation consulting
Matched industry clusters
consultingtech
Restricted
Activities outside the cloud/digital scope (zone license is sector-limited)Regulated activities (payments, telecoms) require separate sector regulators (SAMA, CST licensing)
Require approval
Split correctly: (a) CSP registration under CST Cloud Computing Service Provisioning Regulations (v4Oct-2023) with classes Qualifying/A/B/C; (b) data-centre registration under Data Centre Services Regulations (in force 2024-01-01) with categories Qualifying/Limited/Standard/Advanced — both free of charge3-year validity.
07Jurisdiction & ecosystem
Common lawNo
VAT designated zoneNo
QFZP eligible (0% tax)No
Inferred · 2026-07-18
Mainland permitNo
Inferred · 2026-07-18
Audit requiredNo
Inferred · 2026-07-18
Economic substancestandard
Inferred · 2026-07-18

This zone offers physical-office options sufficient for a standard QFZP substance posture, though the bar still applies at the entity level (CTGFZP1).

Focus: Cloud computing, Information technology, Digital services

unverifiable — no official Cloud SEZ tenant/licensee count is published by ECZA or CST. Unofficial summaries cite 100+ companies signing across ALL four SEZs by end-2025, not Cloud SEZ alone. companiessmall (estimate — few confirmed tenants; hyperscaler interest stated but not enumerated) communityNetworking events: YesIncubator: Yes
Notable companies

Microsoft (CST MoU re SEZ opportunities, May 2023), Oracle (CST MoU re SEZ opportunities, May 2023), AWS, Google Cloud, Oracle, Alibaba Cloud, Huawei Cloud operate/announced KSA cloud regions — KSA-wide commitments, NOT confirmed as zone tenants, 29 cloud service providers registered with CST as of Aug 2024 (national register, incl. stc, SITE, Cloud4C)

QFZP, audit, mainland-permit and substance values are sourced where the zone authority or FTA publishes them, and inferred from published zone characteristics otherwise. How we determine these values.

08Strengths & limitations
Strengths
  • Only cloud/data-centre-dedicated SEZ in the region; licensed operators can build and run data centres anywhere in Saudi Arabia while seated in Riyadh
  • Zakat exemption plus OECD-aligned special tax treatment; ECZA-advertised 5% CIT (up to 20 yrs) for qualifying SEZ activity
  • Expat-levy exemption for employees and their families + flexible Saudization rules in first 5 years cuts staffing cost materially
  • Competitive power (~USD 0.05/kWh) and connectivity pricing — the dominant cost factor for data centres
  • Direct regulatory proximity to CST (data/cloud regulator), easing PDPL/NCA compliance for serving government and regulated sectors
  • 100% foreign ownership, full profit repatriation, no fee for CST cloud/data-centre provider registration
Caveats
  • No published license fee schedule, tenant list or activity list — commercial terms only via direct ECZA/CST negotiation; low transparency vs UAE free zones
  • Jan-2026 implementing regulations give the Cloud SEZ a narrower incentive set than marketed: no statutory 5% CIT, no WHT/VAT/customs relief of the three industrial SEZs — final treatment depends on pending ZATCA guides
  • Not suitable for non-cloud businesses: single-sector license, Saudi-scale compliance stack (MISA, CR, ZATCA, GOSI, Qiwa, CST) and substance requirements
  • Saudi banking/audited-accounts/PDPL compliance burden is heavier than typical UAE free-zone setups

Not ideal for: SaaS/services companies without data-localisation needs, SMEs seeking cheap fast setup with transparent package pricing, and any non-digital business — a mainland Saudi LLC (or a UAE free zone for regional holding purposes) is a better fit.

09Tax considerations
Questions to raise with your tax advisor
  1. Will you need audited accounts even if this zone doesn't require them?

    FTA corporate-tax filing typically expects audited accounts for revenue above AED 50M, and banks often request them at much lower thresholds.

  2. Do any of your customers, suppliers, or shareholders meet the FTA's related-party definition?

    Related-party transactions need transfer-pricing documentation and may push otherwise-qualifying income into the 9% bracket.

These prompts are due-diligence questions, not tax advice. Confirm every answer with a UAE-licensed tax advisor before incorporating.

10Similar zones in Riyadh
11About this data

Cloud Computing SEZ data is sourced from official zone authority publications, government fee schedules, and where available, verified against direct communications with the zone. All figures in AED.

Location
Riyadh
Established
2023
Authority
Same, plus: per the Jan-2026 regulatory framework (Official Gazette, Cabinet/Ministerial Resolution 468), the authority concerned for the Cloud Computing SEZ is CST in coordination with the Royal Commission for Riyadh City (RCRC).
Last verified
2026-07-18
Confidence
high
Methodology
How we score →
Cited source
Fee data sourced from the official fee schedule, fetched 2026-07-18. View source ↗
Per-field citations
How we verify every zone →
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