Cairo: Saudi Arabia is set to allow law firms fully owned by foreigners to operate in the kingdom as it eyes more investments, according to a local media report.
The Saudi Ministry of Justice plans to approve an amendment permitting a law firm, licensed to practise the legal profession in the kingdom, to set up a professional company fully owned by non-Saudis, the news website Akhbar24 reported.
The ministry has posted the envisaged change of an article in the legal profession system on the government Survey Platform for feedback.
The proposed amendment allows licensed legal professional firms to provide legal consultations and present cases before the Saudi courts, according to stipulations set by regulations.
The amendment requires licensed foreign legal professional firms to either establish a new professional company in accordance with the related provisions and executive regulations of the Saudi system, or to open one or more branches of their existing firm within the kingdom.
Attracting global expertise
The move aims to develop the legal profession, attract global expertise in the field, enhance competitiveness and improve the working environment in the kingdom, upgrade legal professionalism, create more jobs for Saudis, motivate foreign investors, and encourage foreign firms to establish their regional headquarters in Saudi Arabia.
In recent years, Saudi Arabia has introduced investor-friendly facilities as part of efforts to diversify its oil-reliant economy and turn it into a regional business hub.
Saudi Arabia has, meanwhile, set restrictions on its government institutions’ contracting with companies that are not based in the country.
The government agencies are required to abide by certain stipulations when having to strike contracts with firms that have no regional headquarters in the kingdom.
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