New Zealand's Ko is in isolation after testing positive following the HSBC Women's World Championship in Singapore last week, where she finished tied for 23rd.
World number three Ko, who became the first woman to claim multiple Olympic golf medals with her bronze at the Tokyo Games last year, has been replaced by American golfer Angel Yin.
The third edition of the Saudi Ladies International, which is part of the Ladies European Tour, will be hosted at the Royal Greens Golf & Country Club from March 17 to 20 and has a purse of $1 million.
(Reporting by Aadi Nair in Bengaluru; Editing by William Mallard)

epa09402380 Lydia Ko of New Zealand on the ninth hole during the final round of the women?s golf tournament of the Golf events of the Tokyo 2020 Olympic Games at the Kasumigaseki Country Club in Kawagoe, Japan, 07 August 2021. EPA-EFE/MICHAEL REYNOLDS