Saudi Laws Update

  April 23, 2025 Saudi Gazette report RIYADH —  The Ministry of Interior announced on Wednesday that a maximum imprisonment of six months and a fine of up to SR50,000 will be imposed on any sponsors, who fail to report the departure of those expatriate workers under their sponsorship, after the expiry of their entry visas.  The sponsor, who is a foreigner, will be deported after serving the jail term and payment of the fine. The ministry also emphasized the importance of adhering to Saudi Arabia's official Hajj and Umrah guidelines and instructions. The ministry announced a similar penalty on Tuesday for the overstaying expatriates also. It stated that expatriates who fail to leave Saudi Arabia after the expiry of their entry visas may face a fine of up to SR50,000, imprisonment for up to six months, and deportation. The ministry had previously announced a maximum fine of SR100,000 for Hajj and Umrah service providing companies and establishments that fail to report any H...

  April 23, 2025 Saudi Gazette report MAKKAH —  The Directorate of Public Security has announced that  expatriates, without an official permit, are banned from entering Makkah, effective from Wednesday, April 23. The directorate stated that those residents who hold one of the following documents will be exempted from this ban: a work permit or a residency permit (iqama) issued in Makkah, or a Hajj permit. Expatriates  without the required permits will be turned back from the security checkpoints at the entry points of Makkah. The enforcement of this regulation aims to regulate access to Makkah during the Hajj season and ensure smooth movement and security for pilgrims.   Permits for entering Makkah during the Hajj season are issued electronically through the “Absher Individuals” platform and the “Muqeem” portal, in coordination with the unified digital platform for Hajj permits, “Tasreeh.” The Ministry of Interior also renewed its warning that it is prohibited t...

  April 24, 2025 RIYADH —  The Saudi Ministry of Justice has introduced a new centralized court model as part of its continued efforts to improve the efficiency, quality, and consistency of judicial processes. The initiative represents a significant reform across four key domains: legislative, procedural, professional, and technological. The model, which has initially been rolled out to select labor courts at both the first instance and appellate levels, aims to establish advanced standards in how cases are processed and adjudicated. In the legislative domain, the new system ensures that legal provisions are applied precisely to case facts. Specialized judicial panels comprising qualified and experienced members are assigned to handle similar types of cases, fostering consistency in rulings and expediting case reviews. On the procedural front, the model reduces dismissals due to jurisdictional issues by allowing cases to be adjudicated without being bound by geographical const...

  April 20, 2025 Saudi Gazette report RIYADH —  The amount of 15 percent value added tax (VAT) paid by tourists while purchasing goods and services in Saudi Arabia will be refunded to them upon their departure. The Zakat, Tax and Customs Authority ( ZATCA ) has made the necessary amendments in the VAT Regulation in this regard. The new VAT exemption came into effect on Friday, April 18. The authority stated that the amendment stipulates that the rate of VAT will be zero percent on eligible goods and services provided by a service provider to tourists and the imposed VAT amount shall be refunded to the tourists by the service provider at the time of their departure from the Kingdom. According to the amendment, the authority is tasked to authorize one or more approved service providers to provide tax refund facilitation services to tourists. The  ZATCA  emphasized that the approved service provider is jointly responsible with the tourist for paying back any amounts pro...

  Okaz/Saudi Gazette RIYADH —  The Insurance Authority has proposed amendments in the provision of comprehensive insurance coverage for lessees in the Insurance Law by granting additional coverage to the driver of the vehicle, including relatives of the lessee, the driver sponsored by the lessee, and the driver working for the lessee under an employment contract. The authority explained that it has worked on the draft amendment to the regulations governing comprehensive insurance for vehicles owned by individuals on lease financing, in a way protecting the rights of the insured and other beneficiaries. The proposed draft aims to protect the rights of the insured and further improve the vehicle insurance sector. It stipulates amending Paragraph 11 of Article 2 of the Insurance Law, which previously reads, "Driver: The person authorized to drive the vehicle and whose name is recorded in the policy schedule." The proposed amendment reads, "Driver: The lessee and the driver ...

  Saudi Gazette report RIYADH —  The National Cybersecurity Authority (NCA) has signed a memorandum of understanding (MoU) with the Government Expenditure and Projects Efficiency Authority (EXPRO) to enhance cooperation between the two parties. The deal aims to contribute to the efficiency of government spending in the field of cybersecurity and improve the quality of government projects and operational programs in this field. The MoU includes enhancing bilateral cooperation in several targeted areas, most notably joint coordination regarding framework agreements with providers of cybersecurity services, solutions, or products to list a number of services and products in the Etimad e-market. This will support the needs of government agencies to enhance their cybersecurity, and provide joint technical support between the two parties to enhance spending efficiency in government cybersecurity projects, among other areas, to enhance the quality of government projects related to cy...

  Implementation will be in 3 phases, beginning from 22 April 2026 April 21, 2025 Saudi Gazette report RIYADH —  Saudi Arabia  announced on Monday the decision to localize 41 professions in the tourism sector in private sector establishments. The Ministry of Human Resources and Social Development (MHRSD), in partnership with the Ministry of Tourism, will implement the decision in three phases, of which the first phase will begin on 22 April 2026. This comes as part of the government's efforts to provide more stimulating job opportunities for male and female citizens across the Kingdom. The new Saudization drive will cover 41 leadership and specialized professions, most notably hotel manager, hotel operations manager, hotel control manager, travel agency manager, planning and development manager, tourism development specialist, tourist guide specialist, tourist organizer, hotel specialist, site guide, purchasing specialist, sales specialist, and hotel receptionist. The fir...

  March 19, 2025 RIYADH —  The Saudi Authority for Intellectual Property (SAIP) has blocked more than 7900 websites and removed more than 22,900 pieces of content from online stores for violating intellectual property laws. These measures were taken following electronic inspection campaigns targeting websites to verify their compliance with intellectual property laws. The authority emphasized the continuation of its campaigns and its relentless pursuit of taking the necessary measures to hold violators accountable in all areas that come under its mandate. The authority called on citizens and residents to support efforts to abide by intellectual property rights by communicating with the authority's official channels on social media (@saipksa), email ( Saip@Saip.gov.sa ), and the direct customer service number (920021421). It’s noteworthy that the Saudi Authority for Intellectual Property is an official government body responsible for the protection and supporting of the intelle...

 March 26, 2025 Saudi Gazette report RIYADH —  An expatriate doctor working at a private healthcare facility in Riyadh was arrested for violating the provisions of the Law of Practicing Healthcare Professions and the Anti-Cybercrime Law. The doctor was caught circulating unprofessional and offensive behavior through social media. The Ministry of Health has initiated the necessary legal action against him for violating the Law of Practicing Healthcare Professions and the Anti-Cybercrime Law. The case against him has been referred to the security authorities. The ministry reiterated that it will not tolerate any abuse by a healthcare practitioner or facility that harms the dignity of patients or the community. It called on Saudi citizens and expatriates to report to it any such violations or irregular practices through official communication channels.

  Commercial speculation should not be the purpose of real estate transaction April 03, 2025 Saudi Gazette report RIYADH —  The Ministry of Investment revealed that foreign investors are allowed to own and sell real estate for the purpose of carrying out their investment activities. The ministry cited some conditions for foreign investors to obtain permission to engage in such business. Most notable among these conditions are that the property is located outside the boundaries of the holy cities of Makkah and Madinah, and that the purpose of selling the real estate is not for commercial speculation, which  refers to  buying and selling assets such as stocks, commodities, or real estate with the expectation of profiting from price fluctuations.  Speculators take on high-risk, high-reward investments in hopes of making quick gains . According to a recent report from the ministry, foreign investor firms are required to obtain the ministry's approval to own real est...

  April 03, 2025 Saudi Gazette report RIYADH —  The Ministry of Commerce announced that the new Law of Commercial Registration and the Law of Trade Names, along with their executive regulations, came into effect on Thursday, April 3. The Council of Ministers approved the two laws during its weekly session on Sept. 17, 2024. These laws keep pace with the economic and technological advancements, as well as with the unprecedented transformation that the Kingdom is experiencing in light of the Saudi Vision 2030. The Law of Commercial Registration, which consists of 29 articles, facilitated the conduct of commercial business by canceling the issuance of sub-registrations for companies and establishments, and then sufficing with one commercial register at the Kingdom level, including all the activities of the establishment, which contributes to reducing the financial burdens on these firms. The law granted a grace period of five years to correct the existing sub-registrations for co...

  April 09, 2025 Saudi Gazette report RIYADH —  Passport information of expatriates can now be updated through the account of their employers via Absher platform without personally contacting the offices of the General Directorate of Passports (Jawazat). There will be a service charge of SR69, including VAT, for availing of this online service. The Absher platform will provide these services to those expatriates whose age is above 18 years after renewal of their passports. The platform allows access to this service through the "My Services" section, then navigate to the "Passports" section, access the Resident Identity Services, and update their passport information. The platform requires a clear photo of the passport to be attached to the Absher website, which automatically reads the passport number and expiry date. When reading the new passport information on Absher, the platform required the expatriate to agree to a pledge through which he/she has to confirm that...

  April 12, 2025 Saudi Gazette report RIYADH —  The Ministry of Justice has instructed to carry out investigation into the case of publishing misleading information in the media by a licensed lawyer about the penalty for parking in front of homes. The ministry clarified that it noticed that the contents of the statement made by the lawyer are not based on any legal basis. Article 5 of the Law of the Protection of Public Facilities —referred to in the statement — is irrelevant to the allegations. The Civil Transactions Law regulates provisions related to rights, including the right of easements. The ministry confirmed that it will take legal action against the lawyer and refer him to the concerned agencies for investigation, based on the Code of Law Practice, its executive regulations, and the Rules of Professional Conduct for Lawyers. The ministry called on all lawyers to adhere to the rules and regulations governing the profession. The ministry reiterated that it will not sho...

  Saudi Gazette  report RIYADH  —  The Ministry of Tourism revealed on Wednesday that private tourism hospitality facility licenses in Saudi Arabia recorded exceptional growth of more than 330 percent during the year 2024 compared to the previous year of 2023. The ministry stated that the number of licenses issued for the private tourism hospitality facilities surged to 8,300 in 2024 from 1,900 in 2023. According to the ministry, this growth reflects the expansion of the sector and the increased demand for investment in the tourism sector in the Kingdom. The Ministry of Tourism recently announced that the number of licensed tourist hospitality facilities across various regions of Saudi Arabia has reached 4,425, representing 89 percent growth rate in 2024.   The Ministry Spokesperson Mohammed Al Rasasimah highlighted that this growth in licenses aligns with the ministry's commitment to enhancing services for both domestic and international tourists amid the signi...

  April 17, 2025 Saudi Gazette  report RIYADH   —  Saudi Arabia started implementing a decision to raise localization rates in four healthcare professions in the private sector effective from Thursday, April 17. According to the decision, Saudization rates have set at 65 percent in radiology; 80 percent in clinical nutrition and physiotherapy; and 70 percent in medical laboratories. The Ministry of Human Resources and Social Development (MHRSD), in partnership with the Ministry of Health, announced the implementation of the first phase of the decision to raise Saudization rates in these professions in the private sector, in accordance with approved professional definitions and titles. The minimum wages for specialists and technicians have been set at SR7,000 and SR5,000 respectively. The first phase of the decision applies to all establishments employing one or more workers in the major cities of Riyadh, Makkah, Madinah, Jeddah, Dammam, and Al-Khobar. It also applies...