By Mohammed Idries
Riyadh-Mubasher: Saudi Arabia’s commerce ministry has launched new corporate regulations in November 2015, which will come into effect in March or April 2016.
The number of companies which will be subject to the new system reaches nearly 50,000.
The system will result in a qualitative leap in the commercial and investment sectors, in addition to helping build sustainable economic entities based on the institutional fundamentals to best serve the business community.
Mohammed Al-Wheebi, legal advisor and member of the Association for International Arbitration, told Mubasher that the new regulations will be reflected positively in the Saudi economy as they will enhance the commercial business.
He added that the regulations are one of the most prominent economic systems issued by the kingdom to provide regulatory environment motivating investments and the domestic economy.
“The new system coincides with the royal directions on establishing an authority specialised in supporting the small and medium-sized enterprises,” Al-Wheebi said.
He added that the system provides the legal framework for fair practices and boosts the growth of economic entities, in addition improving the performance of entities and integrity of commercial business.
Translated by Abdul Maguid Aboshahla
