Hannah Gutang, Author at LexisNexis Middle East

Saudi Arabia: New Commercial Registry and Trade Names Systems Implemented

10/04/202510/04/2025
by Hannah Gutang

Saudi Pulse News, 3 April 2025: The Saudi Ministry of Commerce has implemented new systems for commercial registry and trade names.

The Saudi Ministry of Commerce has announced new systems for commercial registry and trade names that are now in force, along with the relevant executive regulations, from 3 April 2025. The new commercial registry system covered by Saudi Arabia Cabinet Decision No. 237/1446 will simplify business operations by consolidating all activities under a single national registry, eliminating the need for separate sub-registries for individual enterprises and companies. This change is expected to reduce financial burdens on businesses.

The system has introduced an annual electronic confirmation requirement for registry data, replacing the previous practice of renewing the registry. Traders must confirm their registry data every 12 months from the issue date. Failure to provide this confirmation within 90 days of its due date will result in the suspension of the registry and associated services, with automatic deletion after one year if not rectified. Businesses must also open bank accounts linked to their commercial entities to enhance reliability.

The trade names system and its executive regulations aim to bolster trust by regulating the reservation and registration of trade names, ensuring their protection and associated rights. The system allows trade names to be reserved for a specified period, which is extendable once, under certain conditions, and prohibits the registration of names which are similar to existing ones, even if the business activities differ.

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News developments

Qatar: End of Supplier Classification Exemptions for Public Sector Procurement

10/04/202510/04/2025
by Hannah Gutang

Al Watan, 3 April 2025: The Qatari Ministry of Finance has announced the end of supplier classification fee exemptions, with effect from 6 April 2025.

After this date, the prescribed fees will apply, and companies classified under the old system with valid classification certificates and approved profiles will have to switch to the new classification system by then.

The new classification system, which was launched on 3 October 2024, is based on Article 101 of Qatar Cabinet Decision No. 16/2019 the Executive Regulations of the Tenders and Auctions Law No. 16/2019 and its amendments in Qatar Cabinet Decision No. 11/2022. The system requires companies which are participating in government tenders to create a mandatory profile via the national authentication system. An audited balance sheet is now mandatory for company classification, and company performance evaluations in government entities are linked as a criterion for classification. The system also focuses on the financial suitability of companies and ties company revenues to classification categories, adding quality, health, safety, and environmental standards.

The Ministry has urged companies to create their profiles (which can be done free of charge) on the unified state procurement website and to register in the classification lists for suppliers, service providers, and contractors. Profile creation is the first step for classifying companies in sectors such as contracting, suppliers, and service providers for all local and foreign companies. Required documents include a commercial register, trade license, establishment card, audited financial statement for the last fiscal year, and a professional activity license.

The classification criteria include previous experience and performance, quality, health, safety, and environmental standards, legal standards, and financial criteria. Companies are evaluated based on government project contracts, private project contracts, experience in Qatar, and average performance ratings from government entities over the last three years. Quality standards are assessed from company guidelines to ISO certifications, while legal standards consider fines and violations in government contracts. Financial criteria require audited financial statements for the last two years and assess operating profit margin, operating cash flow ratio, and coverage ratio. The Ministry of Finance also plans to develop business localisation programmes, which will include all government companies and subsidiaries of the Qatar Investment Authority, to support private sector companies, increase local content, and ensure small and medium enterprises (SMEs) have a share in local procurement.

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News developments

Bahrain: National Assembly Considers Extending Maternity Leave to 70 Days

10/04/202514/04/2025
by Hannah Gutang

Al Bilad Press, 9 April 2025: The Bahraini National Assembly has been considering a proposal to extend maternity leave for female government employees to 70 days.

The proposal aligned with the United Nations’ Sustainable Development Goals, particularly Goal 5 on gender equality.

However, the proposal also raised concerns about potential disruptions to operational schedules in government agencies, especially in critical roles, which may lead to a need to temporary restructure or hiring substitutes. There have also been concerns about increased public expenditure to cover salaries during the extended leave.

The proposed 70-day leave aligns with practices in Saudi Arabia and Jordan, while other countries such as the UAE, France, and Sweden offer longer maternity leave periods. Egypt is currently considering increasing its maternity leave to 90 days.

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News developments

Bahrain: Legislative Committee Begins Deliberations on New Law for Legal Profession

10/04/202510/04/2025
by Hannah Gutang

Akhbar Al Khaleej, 8 April 2025: Bahrain’s Legislative Committee has begun discussions on a proposed law to regulate the legal profession.

The proposal, has been prioritised for swift consideration and aims to regulate the profession as mandated by the constitution. The committee aims to finalise its report within a month, before the end of the current legislative session.

The proposed law would allow the Minister of Justice to establish law firms. Comments have been sought by the committees from bodies, including the Ministry of Justice, the Supreme Judicial Council, the Bahrain Bar Association, and the Bahrain Chamber of Commerce and Industry.

The General Secretariat’s Studies Department has also been tasked with conducting a comparative study of legal profession regulations in other countries to identify best practices.

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News developments

Ajman: New Real Estate Contributions Law

10/04/202510/04/2025
by Hannah Gutang

Ajman has introduced a comprehensive legal framework through Ajman law No. 1/2025 to regulate real estate contributions.

Ajman law No. 1/2025 outlines the procedures and requirements for real estate contributions, including the establishment of a register for real estate contributions, the roles and responsibilities of trustees, and the conditions for the transfer and liquidation of contributions. Real estate contributions are financial or in-kind investments made by an owner or investor into a real estate project or investment vehicle, often in exchange for shares or ownership in the venture. The new law is expected to enhance transparency, protect investors’ rights, and attract more investment into the real estate sector in Ajman. Obligations under the law include the requirement for trustees to manage contributions responsibly, ensure compliance with anti-money laundering regulations, and maintain a minimum ownership stake in the contributions. The law repeals any conflicting provisions in existing legislation and is set to come into effect 30 days after its publication in the official gazette.

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News developments

Abu Dhabi: School Fee and Cost Rules Outlined

10/04/202510/04/2025
by Hannah Gutang

Emiratalyoum, 3 April 2025: The Abu Dhabi Department of Education and Knowledge (ADEK) has announced a new school fee policy for the 2025-2026 academic year, allowing optional charges for textbooks and uniforms in private schools.

The policy divides school fees into six components: tuition, educational resources, uniforms, transportation, extracurricular activities, and other fees. It allows parents to opt out of certain charges involving devices, textbooks, and uniforms if they choose to use second-hand materials that meet the school’s requirements. Schools are permitted to collect tuition fees in up to ten instalments, providing flexibility for parents.

Schools must publish their approved fees on their websites and adhere to the fee levels set by ADEK. They must also offer detailed payment schedules and can enter into agreements with parents on these schedules. Schools can also charge a registration fee of up to 5% of the approved tuition fees, which can be collected up to four months before the academic year begins. However, any registration fees must be deducted from the final tuition fees, and schools cannot request additional financial guarantees from parents.

In cases of late or non-payment of fees, schools must have a clear and fair policy in place and not impose punitive measures. They must notify parents in writing at least three months before the end of the academic year on the consequences of not re-registering their children due to unpaid fees. Schools are prohibited from barring students from exams due to fee issues. The policy also outlines potential actions for non-payment, including issuing three consecutive warning notices to parents, suspending student registration for up to three days per term, and withholding exam certificates or transfer documents until all fees have been settled.

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News developments

UAE: New Stricter Traffic Laws to Enhance Road Safety

03/04/202503/04/2025
by Hannah Gutang

Khaleej Times, 2 April 2025: The UAE has brought into force new traffic laws on 29 March 2025 which impose severe penalties.

Federal Decree-Law No. 14/2024 On Traffic Regulation was issued on 30 September 2024 but came into force on 29 March 2025. It provides for stringent penalties for various traffic offences including imprisonment and fines up to Dh200,000. The law aims to address serious offences including jaywalking, driving under the influence, and driving without a proper licence. Road safety experts have welcomed the changes but state that there needs to be stricter enforcement and cultural shifts in the UAE to promote road safety.

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News developments

Saudi Arabia: Reforms to Stabilise Riyadh Housing Market

03/04/202503/04/2025
by Hannah Gutang

Gulf News, 2 April 2025: The Saudi government has implemented a series of reforms to address the rising costs of housing in Riyadh.

The reforms are designed to stabilise land values and rental rates, making housing more accessible to residents. A decision has been issued by the Saudi authorities, impacting property developers, landlords, and tenants in the region. The reforms include measures to regulate land prices, control rental increases, and incentivise affordable housing projects. The reforms are expected to have a significant impact on the housing market by curbing speculative practices and ensuring fair pricing.

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News developments

Qatar: Development Bank Launches Partial Investment Guarantee Programme

03/04/202503/04/2025
by Hannah Gutang

Alarab, 26 March 2025: The Qatar Development Bank (QDB) has introduced a Partial Investment Guarantee Programme to mitigate financial risks for investors and encourage investment in Qatar’s tech startups.

The programme aims to reduce financial risks for individual and group investors and encourage investment in technology startups in Qatar.

It aligns with Qatar’s National Development Strategy. The guarantees are offered through QDB’s investment arm and provide protection to investors who meet the programme’s criteria. Eligible companies must be based in Qatar.

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News developments

Oman: Civil Aviation Authority to Issue Temporary Permits

03/04/202503/04/2025
by Hannah Gutang

Oman Daily Observer, 29 March 2025: The Oman Civil Aviation Authority is to issue temporary permits on the Muscat to Salalah and Suhar to Salalah routes.

The permits will be issued in peak winter and summer tourist seasons in order to increase competition and reduce airfares. Proposals have been invited from eligible national and international carriers to provide temporary domestic services on these routes between 1 July and 1 August, and 1 December and 31 January.

In order to qualify, operators must have a valid Air Operators Certificate (Omani or International), proven operational experience, financial stability, and they must comply with Omani health and safety and environmental regulations. They must also have adequate passenger and third-party insurance coverage.

The aircrafts must have 100 to 200 seats and meet the Omani Civil Aviation Authority technical and safety standards. The last date for applications will be 17 April 2025.

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