Allowing Women to Drive
On June 24, 2018, the ban on female drivers in the Kingdom has been lifted. PWC estimates that by 2020 there will 3 million additional women drivers in Saudi Arabia. This will have short and long-term impact on the industry. On the short term, allowing women to drive has necessitated the establishment of multiple driving schools and private driving lessons. It will increase car sales and leases and will directly increase the demand for motor insurance. On the medium and long-term, female drivers will increase the demand for car maintenance, patrol stations, roads and infrastructure, parking, and employment.
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Commercial Disputes Settlement
Conventionally, dispute settlement in Saudi Arabia has proven to be time-consuming and uncertain. Saudi commercial law is still developing, but in 1994 the Saudis took the positive step of joining the New York Convention of 1958 on the Recognition and Enforcement of Foreign Arbitral Awards. Saudi Arabia is also a member of the International Center for the Settlement of Investment Disputes (also known as the Washington Convention). In in 2016 Saudi Arabian government established the Saudi Center for Commercial Arbitration (SCCA). Developed in accordance with international arbitration rules and standards, including those set by the American Arbitration Association’s International Centre for Dispute Resolution and the International Chamber of Commerce’s International Court of Arbitration, the SCCA offers comprehensive arbitration services to firms both domestic and international. Awards rendered by the SCCA can be enforced in local courts, though judges remain empowered to reject enforcement of provisions they deem non-compliant with sharia law.
According to a recent statement released by Saudi Arabia’s Ministry of Justice Saudi enforcement courts have announced the recovery of more than $3.4 billion (around 13 billion Saudi riyals) after enforcing a number of foreign rulings. One of the most recent of such ruling came from a Court in Virginia, forcing a Saudi tourism company to pay $3,758,000 (SAR 14 million) to a US company.
Business Visas
Saudi Arabia has begun to implement a decree stating that sponsorship for certain business visas is no longer required. Based on new instructions, the issuance of a visitor’s visa should be affected within 24 hours from the visa application date. While most business visas are valid for only one entry for a period of up to three months, the Saudi Embassy in Washington has begun issuing a 5-year multiple entry visa for selected business people, taking into consideration the principle of reciprocity—yet visa fees are considered costly. Finally, the Saudi Ministry of Foreign Affairs has recently issued a visitor’s visa at ports of entry for selected nationalities.
Barriers
barriers