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How to Open a Company in Saudi Arabia

Are you an ambitious company looking to expand your business into a vibrant and thriving market like Saudi Arabia? By opening a satellite branch in Saudi, you would have made the correct business decision as the Kingdom offers excellent growth opportunities.

Accounting Nationalization: Welcome move to achieve long-term benefits

Following the footsteps of the retail and engineering professions, the Ministry of Human Resources and Social Development in Saudi Arabia has implemented 30% localization of the accounting profession in line with Vision 2030, which came into effect on 12 June 2021. The Nationalization Scheme, or Nitaqat, is a policy adopted by the Ministry of Labour that requires Saudi enterprises to hire local people on a quota basis. The government aims to create more than 9,800 jobs in the private sector by localizing jobs in this profession. This article will dive into details in the Saudization plan, how the government is facilitating it, and what needs to be done to achieve the goal. 

Everything you need to know about MOMRA

The Ministry of Municipal and Rural Affairs (MOMRA) was incepted in 1975 to implement provisions for the infrastructural development of the Kingdom of Saudi Arabia (KSA). An integral part of the government of Saudi Arabia, MOMRA is responsible for the construction of roads and providing essential equipment, rural development, beautification of cities, as well as ensuring that health and cleanliness standards are maintained across the region. The ultimate aim of MOMRA is to attain urban sustainability and offer top-class municipality services across all of the regions in KSA.  

What is GOSI in Saudi Arabia: Everything you need to know

The Government Organization for Social Insurance (GOSI in Saudi Arabia) is a premium government institution in Saudi Arabia that deals with social insurance in the country. Headquartered in Riyadh, GOSI is a financially and administratively independent organization that is supervised by a board of thirteen directors. The board of directors consists of insured persons, employers as well as officials from government departments. Since its inception in 1973, GOSI has constantly worked towards improving social insurance benefits meted out to the contributors and their family members. 

GOSI: INSURING THE FUTURE OF YOUR COMPANY

The General Organization for Social Insurance (GOSI) carries out the social insurance regulations in Saudi Arabia. GOSI collects contributions from employers, covers social insurance according to the law and pays benefits for insured persons or their families. The organization provides medical treatment, allowances and services for injured or disabled individuals or to the families of insured individuals who are deceased, in which case the death pension is received. 

GOSI calculations vary across employee nationalities with employees split into three main groups, Saudi Nationals, GCC nationals who have varying contributions and other expat workers. For Saudi nationals in the private sector GOSI contributions equal 22% of the maximum monthly applicable earnings (9% each for the employee and employer for pension contributions, 1% each for unemployment contributions and 2% for occupational hazard which is covered by the employer). The monthly earning combines basic salary, housing allowance and commissions. In-kind housing is equivalent to a two-month basic salary divided by twelve months. Meanwhile, minimum salary 1500 SAR will be counted as half Saudi and minimum salary 3000 SAR will be counted as full Saudi.

Valid Health Insurance Required to Extend Saudi Visit Visa

The Ministry of Interior (Jawazat) announced last week that valid health insurance is mandatory when applying for an extension of duration of stay for Saudi visit visas. Those visiting the Kingdom for Umrah, Haj or on diplomatic visas and visitors to diplomatic missions are exempt.

Visitors to the Kingdom must have valid health insurance documents to extend their stay and it must be renewed before its’ expiry date. The extension must be submitted to the immigration department at least 6 days before duration of stay expiry date to avoid mishaps in linking medical insurance with immigration.