Saudi Arabia lifts restrictions

Riyadh: Saudi Arabia has lifted all restrictions on citizens of other Gulf Cooperation Council (GCC) states engaging in economic activities and independent professions in the Kingdom.

This was aimed at accelerating the process of economic integration in coordination with the steps taken to establish the GCC Common Market. This decision was taken by a meeting of the Council of Ministers, chaired by King Abdullah Bin Abdul Aziz on Monday evening, and this was after reviewing the decision of the 28th Supreme Council of GCC leaders held in Doha last year.

The Cabinet also passed a series of regulations facilitating the transfer of jobs of people employed by maintenance, catering and cleaning companies outsourced by government departments.

The Labour Ministry will transfer the sponsorship of these workers from previous government contractors to new ones. The state will bear their iqama (residence) and sponsorship transfer fees.

If a new contractor does not require the workers then it is at liberty to terminate them and send them to their home countries.

The six Gulf states last year created a common market without ironing out details of the movement of personnel and cargo, crucial for economic integration.

The Cabinet also agreed to a resolution taken by GCC leaders on continuing work with the current mechanisms of the Customs Union until its remaining requirements are completed. It also endorsed enforcing full equality of GCC citizens in pursuing vocations and commercial, investment and service activities except those excluded by a decision of the Supreme Council.

GCC citizens will also be allowed to perform social services.

Saudi Arabia earlier adopted legislation to implement the decisions taken to allow GCC citizens to practice retail and wholesale trade, with treatment equal to that of Saudis.

The GCC Common Market is being established in each GCC State in pursuant to the constitutional and legal procedures of the countries concerned. The Common Market will be applicable mainly in 10 areas.

They are transportation and residence, work in public and private sectors, social insurance and pension, practising professions and vocations, practising all types of economic, investment and service sectors, possession of real estates, transfer of capital, tax transactions, trading of stocks and establishing of companies, and taking advantage of the educational, health and social services.

Will this encourage more people to do business across the region? Will this accelerate the economic integration in the region?

This can be termed as a bench mark towards the new economical growth in the region.
Mohammad Kamran Khan
Dubai,UAE
Posted: April 22, 2009, 08:15