Kuwait air traffic returns to normal, flights resume QatarEnergy announces new oil discovery offshore Namibia UAE developer Alef launches $1.1bln mixed-use development in Sharjah ADNOC eyeing Canada upstream and LNG opportunities via XRG arm, executive says Dubai real estate deals in April surge to $18.7bln Saudi's SAMA mandates advance notification of investment rounds by financing companies Qatar maritime trade activity accelerates in May Oil steadies as uncertainty over US-Iran talks keeps markets on edge Qatar: Relatively hot daytime conditions expected, moderate night Dubai Centre for Family Businesses explores ways to strengthen business adaptability Saudi Crown Prince, UAE President discuss regional security and cooperation UAE President and Qatar’s Emir discuss fraternal ties and regional developments in phone call Flydubai operates 3,800 flights in March, posts high net promoter score Oman Investment Bank names new CEO Saudi sovereign investor PIF mandates 3yr, 7yr, 30yr USD issuance Abu Dhabi's TA’ZIZ Methanol JV secures $2bn financing for methanol plant Emirates airline posts record net profit despite war impact Qatar unveils support package to steady markets, boost investor confidence Saudi Vision 2030 milestones forge a stronger, diversified, and resilient economy Abu Dhabi non-oil trade jumps 36% to $113bln in 2025; exports rise 63% Qatar's GTA extends 2025 tax return submission deadline until June 30 Qatar targets strategic FDI as global competition intensifies New pharma plant opens in Nizwa, boosting Oman’s drug security Jeddah Tower hits new construction milestone; tops 100 floors Qatar’s banking assets touch $596bln in February: QNBFS Dubai Holding Real Estate, ENBD partner to offer financing for key projects Ajman DED issues 1,617 new licences, renews 8,777 in Q1 Saudi: SFDA begins classifying fines according to size of establishment in bid to support MSMEs Burjeel Holdings strengthens growth outlook Saudi Arabia raises its oil price for Asia

Log in

عربي

Media Centre

Home » Media Centre

New Law of Commercial Registration expected to spur Saudi investment by 8.8%

New Law of Commercial Registration expected to spur Saudi investment by 8.8%

New Law of Commercial Registration expected to spur Saudi investment by 8.8%

Nov 19, 2024

RIYADH — Saudi Arabia's business landscape expects a groundbreaking shift with local investment projected to grow by up to 8.8 percent under the Kingdom's new Law of Commercial Registration, according to a report issued by the Center for Economic Studies at the Federation of Saudi Chambers of Commerce. The report analyzed the law's potential to transform the business climate.

The report paints a vibrant picture of the Saudi private sector's current impact, revealing its SR1.7 trillion contribution to the GDP and a total of 1.5 million active commercial registrations. It also noted significant strides in localization, currently at 28 percent, and the growing role of women in the workforce, where participation rates reached 35.4 percent.

At the heart of this progress lies a series of reforms introduced by the new Law of Commercial Registration. Key changes include the removal of sub-registries for establishments, allowing businesses to operate nationwide with a single record. Entrepreneurs can now own a single establishment capable of handling multiple commercial activities, while the city-specific registration requirement has been abolished, paving the way for businesses to expand freely across the Kingdom.

The report highlights tangible benefits expected from these reforms. By eliminating sub-registries, businesses are projected to save SR80 million to SR110 million annually. This financial relief is expected to spur investment growth, with local investments anticipated to rise between 7.4 percent and 8.8 percent. Furthermore, the number of branches for economic establishments is forecast to increase by 3.8 percent to 5.3 percent, underscoring the reforms' potential to foster expansion and innovation.

The Federation of Saudi Chambers has taken a proactive role in this transformation, conducting in-depth studies to identify investor challenges and collaborating with the National Competitiveness Center (Tayseer) to propose practical solutions