Saudi Arabia’s strict enforcement of ‘Saudization,’ a policy requiring companies to prioritise citizens for employment, is putting Nepali and other foreign workers at risk, especially in senior and specialised roles. Many foreign workers report that their visas are no longer being renewed.

The policy mandates that companies fill higher-level and specialist positions with Saudi nationals. Raman Sah, a Nepali engineer who worked eight years at a Saudi engineering firm, said his position was given to a Saudi citizen. “The company informed me that they cannot continue my employment. We must maintain at least 30 percent Saudi engineers. There is also pressure on Indian engineers,” he said.

On December 31, Saudi Arabia’s Ministry of Human Resources and Social Development issued a regulation requiring that 30–46 percent of engineers in companies be Saudi nationals within six months. Companies have started implementing the rule. According to Sah, accurate data on Nepali engineers in Saudi Arabia is not available, but in areas where Saudi engineers are underrepresented, foreign engineers will have to leave.

The ‘Saudization’ policy extends beyond technical positions to administrative and healthcare roles. Administrative positions, human resources managers and assistants, company representatives, and security guards must all be Saudi nationals. In technical roles, civil engineers, architects, electrical, industrial, and technical engineers, and engineering technicians must have a minimum of 30 percent Saudi staff.

In the healthcare and pharmacy sectors, Saudi nationals must make up 55–80 percent of staff depending on the speciality. Medical laboratory roles require 70 percent, physiotherapy 80 percent, radiology 65 percent, dentistry 55 percent, and pharmacy 65 percent Saudi staff. The tourism and hospitality sectors are required to employ 100 percent Saudi nationals in most roles, while by January 2027, even chefs must have 30 percent Saudi staffing.

Retail and procurement sectors are also prioritising Saudi citizens. Positions in car spare parts, clothing, electronics, and other retail areas are now restricted mainly to Saudi nationals, and accounting positions have been reduced.

Employment expert Yuvraj Basnet said the policy clearly gives priority to Saudi citizens, reducing opportunities for Nepali and other foreign workers. “The Saudi labour market now favours Saudi nationals. Foreign workers will only find opportunities in certain jobs and sectors,” he said.

The Saudi government is also targeting skilled labour, requiring certification for foreign workers. Annually, Saudi Arabia employs 80,000–100,000 Nepali workers. Upcoming labour agreements between Nepal and Saudi Arabia, scheduled for the last week of January, are expected to focus mainly on general workers.

According to Nepal’s Labour Ministry 2024 report, Nepali workers are concentrated in general labour (67.7 percent), service and sales (8.7 percent), and driver or machine operator roles (12.2 percent).

This policy shift is expected to significantly reshape the composition of Nepali workers in Saudi Arabia, reducing their presence in higher-skilled and specialised positions, while prioritising citizens across technical, administrative, healthcare, and retail sectors.