28 Feb 2018
SAUDI ARABIA: Kingdom Approves its First Ever Bankruptcy Legislation
The country’s recently-approved Bankruptcy Law, the first such legislation to be adopted by the kingdom, contains provisions related to three key areas – preventive settlements, financial restructuring for struggling businesses and statutory liquidation procedures. These regulations apply equally to domestically-owned businesses and to FDI-backed businesses operating in the country.
The new law is the latest in a series of measures designed to boost the country’s FDI appeal in line with Vision 2030, the ambitious reform initiative intended to reduce economic reliance on its oil reserves. The regulations are expected to come into effect within the next 180 days.