LexisNexis Middle East

Saudi Arabia: Waives Fees for Exports

13/09/202413/09/2024
by Hannah Gutang

Khaleej Times, 8 September 2024: The Saudi Arabia’s Zakat, Tax and Customs Authority (ZATCA) has announced new customs service fees starting 6 October 2024.

The new rules include waiving the fees for all customs services for exports.

The authority has also reduced customs service fees for imports through a new mechanism for calculating import service fees, which involves a fee of 0.15% of the value of the incoming goods for customs declaration processing services.

Additionally, the Fee Document on Customs Services stipulates a fee of SAR15 for customs declaration processing services on individuals’ shipments arriving through online stores, provided that the value of these shipments does not exceed SAR1,000.

The ZATCA has clarified that the customs services for exports for which the fees have been waived include customs declaration processing service, lead seal, land port loading services, X-ray inspection, customs data exchange, and sample analysis exchange at specialised laboratories.

The authority has added that previously the customs service fees for imports included a charge of SR100 for each container inspected by X-ray, an additional SR 100 for “information exchange” services, and SR20 for customs declaration processing services.

With the new decision, the fee shall be based on 0.15% of the value of the incoming goods, including insurance and shipping, with a maximum of SR 500 and a minimum of SR15 and a special cap of SR130 for shipments exempt from customs duties and taxes.

ZATCA invites customers and taxpayers to contact it if they have any inquiries via the unified 24/7 call centre number (19993), its X Account (@Zatca_Care), e-mail (info@zatca.gov.sa), or instant chatting through its website (zatca.gov.sa).

The new mechanism for calculating import service fees aims to reduce import costs and enhance the importers’ capability to pre-calculate customs service fees for imports and set a higher limit for such fees.

The new decision also ensures the elimination of any cost increases against importers and unifies the calculation mechanism for the various land, sea and air ports while supporting and enhancing trade facilitation objectives.

ZATCA has also announced that through the new measures, it seeks to provide customs services in accordance with the best practices, leading to realising positive income across the logistics ecosystem and supporting its strategic objectives.

The new measures also aim to promote the confidence of importers and exporters and improve transparency.

ZATCA has reiterated its commitment to develop its customs services in line with its strategic objectives by contributing to turning Saudi Arabia into a global logistics hub in line with Vision 2030.

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News developments

Qatar: CRA Unveils Network Neutrality Guidelines

12/09/202412/09/2024
by Hannah Gutang

The Peninsula, 8 September 2024: The Communications Regulatory Authority (CRA) has published new Guidelines for Network Neutrality to encourage a fair and competitive digital environment.

The new guidelines aim to protect digital media companies, ensure consumers have equal access to internet content without discrimination, attract investment to the Information and Communication Technology (ICT) sector and support the development of the digital economy in Qatar.

Network neutrality is the principle that Internet Service Providers (ISPs) must treat all internet traffic equally, without discrimination or preferential treatment based on content, application, or user.

This ensures that all users have equal access to online services, protecting user rights and fostering innovation by providing a level playing field for all content providers.

The guidelines mandate that ISPs comply to this principle, that is crucial for promoting healthy competition, which encourages investment in Qatar’s digital economy.

Before being finalised, the guidelines were issued for public consultation to gather input from stakeholders across the industry.

This feedback helped refine the guidelines, addressing concerns while maintaining flexibility in pricing and innovation.

According to the Network Neutrality Guidelines, ISPs must clearly communicate their traffic management practices and service impacts.

CRA will monitor Internet ISPs compliance and engage stakeholders to keep the guidelines aligned with technological advancements.

As part of its broader strategy to enhance Qatar’s telecommunications, information technology, and postal sectors, CRA is focusing on improving connectivity and embracing digital transformation to drive economic growth and improve quality of life.

This aligns with the Third National Development Strategy 2024 – 2030, which prioritises improving residents’ quality of life and delivering services that meet global standards.

The guidelines signal to foreign investors that Qatar’s digital sector is open and competitive, contributing to Qatar’s economic growth.

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News developments

Oman: Reconciliation in Labour Violations Explained

12/09/202412/09/2024
by Hannah Gutang

Atheer, 5 September 2024: The Minister of Labour has issued the Ministerial Resolution “Rules for Reconciliation in Labor Law Crimes” which allows violators to request reconciliation on condition that they pay a quarter of the maximum fine within 15 days from the date on which the approval is given.

The resolution states that the deportation of a non-Omani worker in two cases: if he works in a profession designated for Omanis or entered the country illegally, and the employer bears the costs of deportation.

It also stipulates the necessity of reconciliation within seven days of recording the violation, with the possibility of extending the period once, and the violator is not exempted from correcting the violation within 30 days from the date of reconciliation.

Article 143 of Oman Sultani Decree No. 53/2023 states that if an employer or representative fails to provide necessary facilities, or data, or provides incorrect information, they shall be punished with imprisonment from 10 days to 1 month, or get a fine of 1,000 to 2,000 Omani riyals, or both.

However, reconciliation is possible by paying a quarter of the maximum fine (500 Omani riyals) within 15 days of approval.

For the full story, click here.

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News developments

Kuwait: New E-Sick Leave System Boosts Productivity

12/09/202412/09/2024
by Hannah Gutang

Arab Times, 9 September 2024: The implementation of a new electronic system for sick leave for government employees has proven to be a resounding success, leading to significant improvements in productivity and a substantial reduction in visits to primary healthcare centres.

This innovative initiative by the Health Ministry has yielded remarkable results since its launch, aligning seamlessly with the goals of Kuwait Decision No. 29/2023 which amended the rules and provisions of sick leave.

The new system, accessible through the Health Ministry app and the ‘Sahel’ app, has streamlined the process of obtaining sick leave electronically.

This has not only increased productivity within health facilities but also decreased the number of visits to primary care centres substantially.

By the end of March 2024, the system had demonstrated its effectiveness, and this positive trend continued into the second quarter of the year.

Compelling statistics reveal that from October 2023 to June 2024, the total number of visits to primary care centres dropped by an astonishing 2,095,797 compared to the same period in the previous year.

This reduction translates to an average of 232,644 fewer visits per month, marking a significant shift in the management of health resources.

Furthermore, the average number of visits to each primary care centre saw a remarkable decrease of over 2,000 visits per month, reflecting a positive change in the efficiency of medical services.

In the second quarter of 2024 alone, the number of visits to primary care centres dropped by an impressive 17.7% compared to the same period in 2023.

Between April and June 2024, a total of 2,802,755 visits were recorded, compared to 3,404,451 visits during the same period in the previous year.

The data has also highlighted a decline in the number of unnecessary prescriptions and medications dispensed, further contributing to enhanced productivity and reduced costs.

This decline can be attributed to fewer unnecessary visits to healthcare facilities, thanks to the electronic system’s convenience.

The electronic system, which currently issues one-day sick leaves, has been widely embraced by users for its convenience and efficiency.

Employees can now request and receive approval for sick leave via the app, eliminating the need to visit health centres for short-term leave, saving both time and effort.

Evaluations have confirmed that medical staff are highly satisfied with the new system, as it has saved over 50,000 working hours per month.

These hours, which were previously spent processing sick leave requests, are now being redirected to provide higher-quality care to patients, thereby improving the overall quality of health services.

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News developments

Dubai: Amnesty for Residency Violators

12/09/202412/09/2024
by Hannah Gutang

Emaratalyoum, 5 September 2024: The Naturalisation and Residency Prosecution has announced an opportunity for individuals who have violated the residency system in the country and have pending cases or escape reports against them.

They must visit the settlement centres during the deadline set by the Federal Authority for Identity and Citizenship, Customs and Ports Security, which continues until 30 October 2024.

They can either amend their status by leaving the country or staying in it to work.

The Head of the Prosecution has confirmed that people with cases due to residency violations or escape reports will be allowed to settle their status and close their cases completely.

The initiative aims to implement human concepts and values, amend the status of violators, waive any outstanding fines, and provide job opportunities for those who wish to remain in the country.

For the full story, click here.

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News developments

Bahrain: Electronic Government Launches Appointments National System

12/09/202412/09/2024
by Hannah Gutang

Alayam, 3 September 2024: The CEO of the Information & eGovernment Authority has announced the official launch of the National Appointments System and the (Mawaeed) application available on the eGovernment Apps Store.

This initiative aligns with the government’s directives and supports the priorities of the government program (2023-2026) to digitise government services and transactions comprehensively.

The appointment system and application were implemented by the Interior Ministry and the Information and eGovernment Authority.

After a successful trial phase, 18 new service centres from seven government agencies have joined the system, including the Labour Ministry, the Social Development Ministry, the Housing and Urban Planning Ministry, the Justice, Islamic Affairs and Endowments Ministry, the Municipalities Affairs and Agriculture Ministry, the Public Prosecution, and the Royal Humanitarian Foundation, bringing the total number of participating government agencies to nine.

The National Appointments System and the (Mawaeed) application aim to streamline and improve the delivery of government services, making them more accessible and convenient for citizens and residents.

This digital transformation initiative demonstrates the government’s commitment to modernising public services and improving the overall experience for the public.

For the full story, click here.

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News developments

Abu Dhabi: To Update Rental Index Every Quarter

12/09/202413/09/2024
by Hannah Gutang

The National, 5 September 2024: Abu Dhabi is set to improve transparency and attract more investment in the real estate sector by updating the rental index every quarter and providing rental values of individual buildings.

The next step in the rental index is to zoom into specific residential buildings, providing accurate rental readings for stand-alone buildings rather than just sectors.

This move aims to offer more precise rental values for major landmark residential buildings in the capital.

Last month, Abu Dhabi launched the emirate’s first residential rental index, highlighting rental rates for apartments and villas in Abu Dhabi City, Al Dhafra, and Al Ain.

The index, available on the real estate centre’s website, provides indicative rental values based on transacted contracts.

Currently, Abu Dhabi law limits rent increases to 5% when a contract is renewed with the tenant annually.

However, residents can approach the real estate centre’s call center or office to resolve disputes with landlords.

The UAE’s property market continues to rebound strongly from the COVID-19 pandemic, driven by government initiatives and growth in the non-oil economy.

In the second quarter, Abu Dhabi’s average apartment prices increased by 6.2% year-on-year, while average villa prices grew by 3.9%, according to CBRE.

Approximately 1,800 new residential units are expected to enter the market until the first quarter of 2025 in Yas Island, Saadiyat, and Al Reem islands, amid continued demand for property.

The real estate centre carefully monitors the supply situation to maintain a healthy occupancy rate, currently between 85% and 90%.

Developers continue to launch new projects, with one developer unveiling a project on Yas Island, featuring 151 canal-front villas.

Another developer has also begun the handover process of units in the first phase of a project in Abu Dhabi.

Being an easy city to set up business and do business plays a key role in positioning Abu Dhabi on the global footprint for potential investment and increasing the demand projections into the real estate sector.

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News developments

UAE: Circular Warns Against Violations in Marketing Calls for Securities and Commodities

06/09/202406/09/2024
by Hannah Gutang

Al-Ethihad, 3 September 2024: The Securities and Commodities Authority has urged the public to report marketing calls related to securities and commodities that violate the provisions and regulations outlined in Cabinet Decision No. 56/2024 on the regulation of telephone calls.

The Authority has outlined violations and practices that fall under the purview of the aforementioned resolution, including marketing of products not under the Authority’s supervision through unofficial channels without approval.

Using unjustified marketing pressures to convince individuals to accept a product or service.

Using false and misleading information when marketing a product or service.

Making marketing calls outside the authorised time frame of 9:00 AM to 6:00 PM.

Persisting after an initial rejection of a product or service.

Calling more than once a day or twice a week after no answer or call termination.

Not asking for consent before starting marketing, advertising, or promotion.

Not using registered local numbers issued by authorised telecommunications companies.

Making marketing calls from unregistered or non-company-owned numbers.

Receiving marketing calls from a company registered in the Non-Disclosure Register (DNCR).

Disclosing and trading personal data to third parties for marketing purposes.

Failure to indicate that the call is being recorded. Failure to disclose the company’s identity and purpose of the call at the beginning.

Additionally, any other violations of controls issued by the Authority.

The Authority has confirmed that companies approved for marketing securities and commodities via telephone can be verified on its website.

For the full story, click here.

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News developments

Saudi Arabia: Second Issue of Open Banking Framework Issued

06/09/202406/09/2024
by Hannah Gutang

Mubasher, 3 September 2024: The Saudi Central Bank (SAMA) has announced the issuance of the second version of the Open Banking Framework, focusing on the payment creation service.

This initiative aims to improve the financial technology ecosystem in the Kingdom, improve customer experience, increase transaction efficiency, and provide new opportunities in the sector by offering expanded products and solutions to customers.

The Open Banking Framework includes a set of technical instructions and standards aligned with international best practices, enabling banks and fintech companies to provide open banking services in the Kingdom.

This version will allow these entities to offer the payment creation service in a reliable and secure manner, clarifying the responsibilities, obligations, and requirements related to providing the service.

The payment creation service empowers individual and institutional customers of fintech companies to create payment transactions directly from their bank accounts to the beneficiaries’ accounts securely.

This development is part of SAMA’s efforts to foster innovation and drive the growth of the financial technology sector in Saudi Arabia.

For the full story, click here.

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News developments

Qatar: Introduces New Qatarisation Law for Private Sector

06/09/202406/09/2024
by Hannah Gutang

In a move aimed at creating more job opportunities for Qatari nationals, a new law has been issued on the localisation of jobs in the private sector.

The law is expected to take effect six months after its publication in the Official Gazette.

The new legislation seeks to significantly boost the participation of the national workforce in private sector institutions and companies, providing new employment and career opportunities for Qataris.

It focuses on improving the labour market’s appeal to the national workforce, increasing companies’ ability to attract and integrate citizens, and ensuring job stability for Qatari nationals.

The Labour Ministry has clarified that the entities subject to Qatarisation under the law include employers who are individuals managing private establishments registered in the commercial register, commercial companies operating in the State, whether State-owned, State-participated or privately owned, as well as private non-profit institutions, sports organisations, associations, and similar entities.

Key provisions of the law include providing financial incentives to beneficiaries, offering various benefits, facilities, and privileges to entities covered by the Qatarisation scheme, and employing, training, and qualifying Qataris seeking employment in accordance with the Ministry’s policies, plans, and programs.

The new Qatarisation Law aligns with Qatar National Vision 2030, particularly the human development pillar, by promoting and encouraging employment and training opportunities for Qatari citizens.

Privately owned companies will need to comply with the Qatarisation policies once in effect and meet the requirements to comply with localisation requirements.

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