26 Mar 2024
RIYADH: Saudi Arabia’s business registrations saw a notable increase of 12 percent from 2019 to 2023, reaching a total of over 1.12 million commercial records, a top official said.
Minister of Commerce Majid Al-Qasabi disclosed the figures during a meeting in Jeddah to discuss challenges and enhance the Kingdom’s enterprise environment,
The session was attended by Mohammed Yousuf Naghi, chairman of the Jeddah Chamber of Commerce, and other board members, as well as members of the community, including investors, businesspeople, and entrepreneurs, according to the Saudi Press Agency.
The minister emphasized that the city has experienced a 14 percent surge in commercial records over the past five years, surpassing 192,000.
He also noted that Jeddah ranks second in company registrations for cities in the Kingdom, trailing only Riyadh in volume.
During the gathering, Al-Qasabi also pointed out that enrollments for limited-liability companies surged by 40 percent, totaling 229,000, while joint-stock firms witnessed a 15 percent increase, reaching 2,756.
The minister outlined ongoing efforts to strengthen the legislative framework, with over 70 laws prepared or improved since the inception of Saudi Vision 2030.
He highlighted the significance of the Companies Law, which plays a pivotal role in facilitating the business climate and investment landscape.
This ruling explicitly regulates the operations and longevity of family enterprises, nurtures entrepreneurship, and provides vital support to startups.
He also reiterated the commitment to enhancing systems that bolster trust in the business sphere, including the Consumer Protection Law, Commercial Transactions Law, Trademark Law, and Commercial Register Law.
Al-Qasabi discussed with the attendees the legislative and procedural reforms undertaken by the National Competitiveness Center in collaboration with government entities and the private sector, SPA added.
He emphasized the introduction of more than 60 economic activities aimed at boosting investment opportunities in promising sectors. Additionally, he noted the development of 248 initiatives to enhance the backer’s experience. He also mentioned the successful completion of 167 initiatives spanning 18 economic sectors.
The minister highlighted that collaborative efforts played a crucial role in Saudi Arabia’s progress in the global competitiveness rankings of 2023, which saw the Kingdom secure the 17th position out of 64 nations for the first time.
He also underscored its achievement of the third ranking among G20 countries, backed by its robust economic performance.
The senior official also mentioned that Saudi Business Center operates 17 branches across 14 cities, providing over 750 services to investors and firm owners. He noted that 14 government entities offer services at these local branches, with an additional 74 bodies providing assistance through communication officers.
He further stated that his ministry’s electronic service platform has delivered over 2 million benefits to investors and the business sector since its launch in 2020. Additionally, it has introduced 170 supports to simplify the investor journey.
Speaking of consumer protection, Al-Qasabi explained that the Ministry of Commerce has introduced five electronic systems, particularly aimed at evaluating e-commerce platforms, tracking inventory, and overseeing inspection processes.
He also emphasized the rise in compliance rates among commercial entities in Jeddah, with violations decreasing by 28 percent compared to the previous year.