GCC Restructuring & Insolvency Report

The worldwide economic distress caused by the ongoing Covid-19 pandemic has certainly not spared the GCC region. The pandemic has exacerbated the region’s pre-existing economic challenges, many of which date from the prior distresses that occurred ten years ago and were never fully remediated. This has led to a knock-on effect whereby many corporate interests…

Update Saudi Companies Law

Update to the Saudi Companies Law,Reporting of losses in Saudi Companies, Appointment of auditors, and Remote Board of Directors Meetings As a result of the COVID-19 pandemic, some Saudi Arabian companies have been struggling economically and facing difficulties implementing some requirements under the Saudi Companies LawNo. (M/3) dated 10/11/2015G. As such, on 02/11/2020G, the Saudi…

Saudi Arabian Labor Law amended to cover COVID-19

The Saudi Arabian Ministry of Human Resources and Social Development (“MHRSD”) has issued several resolutions and directives to deal with the measures taken in relation to employee entitlements during COVID-19. Notably, Article 41 has been inserted in the Implementing Regulation of the Labor Law, which enables the employer and employee – for a period of…

KSA triples VAT amid COVID-19

The Kingdom of Saudi Arabia has announced that it will increase its VAT rate to 15% with effect from 1 July 2020. This is a result of the pressures upon the KSA economy from the very low oil prices and diminished VAT revenue caused by the COVID-19 emergency measures. The relief measures announced by the…

Saudi Ministry of Labor Decision to Regulate Contractual Relationship Between Employers and Their Employees

The Saudi Arabian Ministry of Labor and Social Development approved the reduction of working hours, or any other precautionary measures that limit the effects of the pandemic. This decision is aimed at limiting the application of the Labor Law in relation to employers severing the contractual relationship due to Force Majeure. These measures will be…

Saudi Arabia Announces USD 31.9 Billion Stimulus Package to Mitigate the Economic Crisis Caused by the COVID-19 Outbreak

The Saudi Arabian government has recently announced a SAR 120 billion (USD 31.9 billion) financial stimulus package to mitigate the economic effects of the COVID-19 outbreak in the Kingdom. This stimulus package is made up of SAR 70 billion (USD 18.6 billion) to support the private sector and central bank’s SAR 50 billion (USD 13.3…

Setting up a business in KSA

By Lujain Al Yousef, Associate, and Abdullah Alanezi, Partner.   Over the years the Kingdom of Saudi Arabia (KSA) has become a place of interest for many investors around the world. For businesses wishing to expand into international markets, KSA is the perfect choice. It is an economically stable country with a constant increase in the domestic…

Saudi Arabia: GAZT Issue Draft VAT Law

Saudi Arabia has been the first GCC state to put its draft VAT law out for consultation. Cyrille Naffah and John Peacock of the Saudi and UAE offices of BSA Ahmad Bin Hezeem & Associates LLP explain the key provisions. Analysis It is now common knowledge, that all the GCC states have signed the GCC…

Business Forum in Turkey

Speaker at business forum organised by Turkish Ministry of Economy and Turkish Exporters Assembly (TIM) as TIMAKADEMI. Held in Adana, Turkey on 1 June 2016. Topic: Doing business in Saudi Arabia Speaker: Cyrille Naffah, Senior Associate The topics of discussion were: Current economic relationships between Turkey and Saudi Arabia Incentives offered by Saudi Arabia to…