RIYADH, SAUDI ARABIA — In a milestone shift for the Kingdom’s social landscape, Saudi Arabia has quietly expanded legal alcohol access to a select group of non-Muslim expatriates in Riyadh. The move, which surfaced this week without a formal government announcement, marks a significant departure from a nationwide ban that has stood since 1952.
The expansion is being viewed by regional analysts as a calculated step under Saudi Vision 2030, designed to enhance the Kingdom’s appeal to global talent as it competes with the UAE for regional headquarters and investment.
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The Exclusive “Premium” Access Model
This is not a general lifting of prohibition. Instead, Saudi authorities have implemented a highly regulated, taxable system focused on specific “high-value” demographics. According to reports and on-ground observations in Riyadh’s Diplomatic Quarter, access to the Kingdom’s sole licensed outlet is now permitted for:
- Premium Residency Holders: Non-Muslim holders of the “Gold Visa” (investors and specialists).
- High-Income Professionals: Non-Muslim expats with a verified monthly salary above SAR 50,000 (approx. AED 49,000).
- Verification via ‘Diplo’ App: Eligible residents must register through a government-linked digital platform to book appointments and track monthly quotas.
Unlike purchases for diplomats, which remain tax-free, transactions for residents are subject to local taxes, making retail prices significantly higher than those in neighboring markets like Dubai or Bahrain.
Strategic Shift: Narrowing the Lifestyle Gap with Dubai
The expansion comes as Riyadh intensifies its “Project HQ” mandate, which requires multinational firms to establish their regional bases in Saudi Arabia to qualify for government contracts.
By easing lifestyle restrictions for top-tier professionals, the Kingdom is directly addressing a major “barrier to entry” for Western and Asian talent. While the Saudi Arabia alcohol policy remains in a controlled pilot phase, sources suggest that new outlets are already planned for Jeddah and Dhahran by early 2026 to support the growing expatriate populations in those hubs.
Strict Controls and “Dry” Public Spaces
Despite the easing, Saudi Arabia remains fundamentally different from the UAE’s liberalized retail and dining model.
- Strictly Retail: Sales are limited to a “bunker-style” unmarked shop; there is still no licensed service in hotels or restaurants.
- Zero-Tolerance for Public Consumption: Consumption remains restricted to private residences. Public intoxication or possession outside the approved system continues to carry severe legal penalties.
- National Ban: Alcohol remains strictly forbidden for Saudi nationals and the general Muslim population.
This “test run” allows the government to monitor social impact while maintaining cultural sensitivities. For expats currently based in the UAE, the gap between the two markets is narrowing, but the “rules of the game” in Riyadh remain distinct, digital, and strictly enforced.
