RIYADH: The General Authority for Military Industries announced that the localization rate of military spending in Saudi Arabia reached 24.89 percent by the end of 2024, highlighting the Kingdom’s steady progress toward achieving over 50 percent localization by 2030.

The announcement came during the annual military industries sector meeting, held in Riyadh on Monday, with participation from government and private sector representatives, as well as local and international defense companies.

During the event, GAMI honored beneficiary entities, supporting partners, and companies that received the Excellence Award in Localizing Military Industries in recognition of their contributions to advancing the national defense sector.

GAMI Gov. Ahmed Al-Ohali told Arab News that the event reflects a “success story that continues to grow year after year, driven by collaboration across the defense ecosystem.”

He added: “By the end of 2024, we achieved a localization rate of 24.9 percent of total military spending, compared to just 4 percent in 2018. We also reached a record-high local content rate, surpassing our targets, thanks to the leadership’s unwavering support and the close cooperation between the military, security, and industrial sectors.”

Al-Ohali noted that GAMI’s strategy focuses on building a sustainable local defense industry that delivers security, strategic, developmental, and economic benefits for the Kingdom and its citizens.

He said the authority has issued a comprehensive set of policies, regulations, and incentives to support the sector’s growth and empower investors to contribute to the localization journey.

Al-Ohali emphasized that GAMI continues to work closely with other government entities to enhance the investment environment, stressing that collaboration and persistence remain key to achieving the Kingdom’s national defense targets.

Saudi Arabia is committed to partnering with leading global manufacturers to transfer advanced technologies and localize industrial capabilities. The presence of major international defense companies reflects strong confidence in the Kingdom’s investment environment and regulatory frameworks, according to a press release.

These efforts enhance “Saudi Arabia’s military readiness and defense independence, highlighting progress in building advanced, sustainable defense industries.”

During the meeting, Saudi Arabian Military Industries, Lockheed Martin, and Roketsan Saudi Arabia shared their experiences in the local market through a panel titled, “The Role of Global Companies in Developing Local Supply Chains for Military Industries.”

The session highlighted collaborative efforts to strengthen Saudi supply chains, enhance knowledge transfer, and accelerate the localization journey across the sector.

The meeting served as a strategic platform bringing together key government entities, defense industry leaders, and investors to review progress, exchange insights, and explore new cooperation opportunities. It was attended by several ministers, senior officials, and CEOs of local and international defense firms.